More charities closed than opened across the Highlands last year, highlighting the growing pressure facing voluntary organisations across the region.
Scottish Charity Register data shows that 73 new charities were registered in the Highlands during 2025 while 83 organisations were removed from the register.
Removal from the register does not always mean a charity has failed as some organisations merge with others or complete the work they were originally set up to deliver.
However the figures underline the increasingly difficult environment many charities are operating in as costs rise and funding becomes more competitive.
Many organisations are also dealing with growing demand for their services at the same time.
The situation reflects wider trends across the United Kingdom.
The Status of UK Fundraising 2025 report found that 54 per cent of charities saw their fundraising income either remain unchanged or fall during the past year.
Most organisations said the wider economic climate was a major factor affecting donations and fundraising.
Ansvar Insurance, which specialises in providing cover for charities and not for profit organisations, says the challenge facing the sector is increasingly about long term sustainability.
Adam Tier, Head of Underwriting at Ansvar, said the Highlands has traditionally had a strong charity sector but the pressures are now becoming clearer.
“The Highlands 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 22 per cent of Highlands residents relying on charitable services mean organisations need to think differently about sustainability.”
Tier said charities may need to look beyond traditional fundraising approaches to strengthen their long term stability.
He said partnerships between organisations can help reduce costs and improve access to funding.
“Formal partnerships with organisations serving similar beneficiaries can reduce overheads through shared back office functions, joint fundraising and collaborative grant bids while strengthening funding applications.”
He also said charities may benefit from focusing more attention on building lasting relationships with supporters.
“Nurturing existing supporters through regular updates and consistent storytelling can help convert into monthly giving providing greater stability than one off donations.”
Tier added that reviewing insurance cover and risk exposure can also help charities avoid unnecessary costs.
“A risk assessment can highlight duplicated cover or gaps in protection.
“As services evolve charities should ensure their insurance reflects current activities to avoid unnecessary costs or unexpected exposures.”
Despite the challenges the creation of dozens of new charities during the year also reflects the continued commitment of Highland communities to supporting those in need.
Tier said long term planning will be key for organisations hoping to navigate the current environment.
“Financial sustainability is not just about raising more money.
“Often it is 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.”
