Soft opt-in for charities: What the new law means for fundraising
The Data Act 2025 could be a game-changer for charities when it comes into force, allowing you to contact a much wider group of people for donations. But what does this mean for your charity fundraising strategy and activity? And what do you need to do now to prepare for it?
The Data Use and Access Act 2025 (DUAA or Data Act 2025) introduces a major change that could reshape how charities connect with their supporters. From next year, charities will be able to use the soft opt-in exemption for marketing.
This will be a big opportunity to nurture supporter relationships more effectively and could unlock millions in extra donations annually by making it easier to reach donors and volunteers with follow-up emails and texts. However, it also comes with risks if not handled carefully.
What’s changing and when
The Act updates the Privacy and Electronic Communications Regulations (PECR) to allow charities to send direct marketing messages such as emails and texts without needing explicit consent as long as certain conditions are met:
- The person has shown interest in or supported the charity (for example, by making a donation or completing a contact form).
- An opt-out option is clearly provided at the point their details are collected.
- The exemption only applies to new data collected after the law comes into effect.
The law was approved on 19 June 2025, with updated ICO guidance on implementation expected in winter 2025/26.
How to prepare your website and systems
Charities should start planning now for when the new rules come into force. Here are some practical steps that you can start thinking about:
- Updating forms – replace opt-in tick boxes with opt-out statements.
- Segmenting data – keep new contacts separate from older ones to avoid misuse.
- Updating CRMs – ensure opt-outs are tracked and applied correctly.
- Review policies – refresh privacy notices.
- Assess compliance – carry out Legitimate Interests Assessments (LIAs) to justify marketing activity.
The risks to watch out for
The opportunity is huge, but charities need to tread carefully. Here are some of the key risks to avoid:
- Supporter fatigue – overusing the exemption could make your messages feel like spam, which may be particularly harmful for vulnerable supporters.
- Misaligned communication – using contact details given for accessing support to then send fundraising asks risks damaging trust and causing distress.
- Unclear boundaries – until the ICO issues guidance, there’s uncertainty around what exactly qualifies as a “charitable purpose.” Staying alert to updates will be essential.
The bigger picture
The soft opt-in extension marks a significant shift in how charities can use data. If this is done right, it can offer a way to communicate with supporters, increase donations, and strengthen loyalty.
The key will be having a clear strategy by treating the soft opt-in not as a licence to send more emails, but as an opportunity to engage supporters in ways that feel relevant and align with your charities mission.
You can read more about the DUAA from the Information Commissioner’s Office here.
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