Charities across Scotland entered the new year facing a complex operating environment, as fresh Scottish Charity Register data shows slightly more organisations were established than removed from the register last year.
The register is maintained by the Office of the Scottish Charity Regulator (OSCR), the official, publicly accessible list of all registered charities in Scotland.
The OSCR is the independent regulator and registrar for over 25,000 Scottish charities, including community groups, religious charities, schools, universities, grant-giving charities and major care providers.
According to the register, 965 charities were registered in Scotland during 2025, while 875 were removed.
Removal from the register can include mergers or charities completing their purpose, but the figures highlight the ongoing pressures within the voluntary sector as organisations adapt to rising costs, regulatory demands and changing funding patterns.
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While Scotland saw slightly more charities open than close last year, organisations across the UK are still facing financial pressures.
The Status of UK Fundraising 2025 report found that 54% of UK charities saw their fundraising income remain static or fall over the past year, with a substantial majority attributing this to wider economic conditions. While income is not universally declining, many organisations are having to work harder to maintain stability.
Ansvar Insurance, a specialist insurer for charities and not‑for‑profit organisations, said the challenge is less about short-term survival and more about long-term sustainability.
Adam Tier, Head of Underwriting at Ansvar, commented: “Scotland has always had an incredibly active charity sector, but these figures show just how challenging the current environment has become. Rising operational costs, a more competitive fundraising landscape and increased demand with an average of 23% of Scottish residents relying on charitable services mean organisations need to think differently about sustainability.”
Despite the pressures, the registration of 965 new charities during 2025 demonstrates the commitment of local communities to addressing social need.
Mr Tier added: "Financial sustainability isn't just about raising more money. Often, it’s about taking a fresh look at existing processes and asking the right questions. The organisations that thrive are those that plan ahead, understand their risks and adapt early, positioning themselves to weather these challenges and continue serving their communities for years to come.”
The news comes after The Herald revealed in December that almost 3,000 complaints have been made about Scottish charities over the last five years.
A Freedom of Information request submitted to OSCR found that a total of 2,776 complaints had been received by the Scottish charity watchdog between 2021 and 2025.
One high-profile complaint that the charity regulator dealt with in recent months was the Glasgow Film Theatre’s decision to remove Israel-linked brands from their bar.
Lobby group UK Lawyers for Israel claimed that the decision to remove the products breached the Charities and Trustee Investment (Scotland) Act 2005.
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The group also said that support for boycotts were outside GFT’s charitable purposes, and therefore illegal.
However, OSCR rejected those claims, noting in a statement: “the matter is for the charity to decide”.
OSCR also launched an inquiry into the Clan Donalds Land Trust last year, following the group’s controversial decision to sell off the historic Armadale Castle on Skye.
However, the regulator later explained that action would not be taken to stop the sale.
It noted: “This inquiry, opened in April 2025, focused on the charity trustees’ decision making and financial context.
“OSCR found that the trustees acted within their legal powers and followed appropriate advice. As a result, OSCR will not be intervening and has now closed the inquiry.”
In October last year, The Herald also reported how charity donations in Scotland have dropped by close to a third over the past five years, as the cost of living crisis bites.
Research from the Scottish Council for Voluntary Organisation (SCVO) found the value of donations has fallen by 30% in real terms since 2018, while fewer individuals are donating to charity.
The voluntary sector body’s report, Individual Giving in Scotland: donations, legacies and fundraising, showed income from individual giving made up 15% of the Scottish charity sector’s income in 2023, down from around 20% in 2018 and previous years.
Individual giving from the general public was worth an estimated £1.2bn to Scottish charities in 2023.
The SCVO said most income streams from the general public were hit hard by Covid, and while many of these income streams have now bounced back, they have generally not recovered to pre-pandemic levels.
