Inside the Findings: Ethics Over Efficiency A new report jointly released by the Chartered Institute of Fundraising (CIOF) and the University of York’s Centre for Digital Innovation in Philanthropy and Fundraising (CDIPF) has spotlighted a major hesitation in the adoption of AI among UK fundraisers. The core reason? Ethical unease. The research surveyed 78 organizations and conducted in-depth interviews with 21 fundraising professionals. While participants acknowledged that AI could streamline operations and enhance engagement, many remained wary of its risks — particularly around data privacy, transparency, and tool reliability. data privacy Dr. Marta Herrero, the report’s lead researcher and Director at CDIPF, emphasized the gap between technical potential and emotional readiness. “AI-driven technology is capable of offering novel and compelling possibilities for charitable fundraising,” she said. “However, first we need to build trust among fundraising professionals.” Herrero stressed the importance of fundraisers understanding both the benefits and limitations of AI. Beyond technical training, she said, the profession needs cultural readiness — confidence in using the tools responsibly and ethically. The report was formally launched at the CIOF’s annual Fundraising Convention, under the theme Shaping the Future of Fundraising with AI. Shaping the Future of Fundraising with AI Ceri Edwards, executive director of engagement at CIOF, reinforced the message: “As AI technologies become increasingly accessible, they offer unparalleled opportunities for our sector — however, we must navigate these advancements carefully.” She added that ethical clarity and donor trust must remain at the center of AI integration efforts. This study adds to a growing body of global concern around the unchecked use of AI in sensitive sectors. For fundraisers, whose work is built on human connection and trust, the path to AI adoption may require more than just innovation — it needs ethical alignment. innovation — it needs ethical What’s at Stake for the Nonprofit Sector Unlike in commercial marketing, where rapid adoption of AI can offer immediate ROI, nonprofits face a different calculation. Here, missteps come with reputational risk. A botched AI rollout that mishandles donor data or personalizes outreach poorly could backfire, harming both donations and community trust. Imagine a donor receiving an automated message suggesting a gift based on income data they never consented to share — the loss of goodwill could outweigh any automation gain. At the same time, fundraising teams are increasingly resource-constrained. AI offers efficiency: chatbots to triage queries, models to prioritize donor outreach, even predictive tools to forecast campaign performance. But until ethical concerns are addressed head-on, those benefits may remain out of reach. Expert Insight “We want fundraisers to feel confident about using AI,” said Dr. Herrero, “feeling that they understand what it can do well, the challenges it poses, and — most importantly — that they trust in their own abilities to identify how they can use the tools responsibly for the benefit of the communities and donors they serve.” That balance of empowerment and ethical literacy may be the missing piece in the sector’s cautious approach. Where It Could Go From Here Fundraising won’t escape AI — but it may humanize it first. Unlike sales-driven sectors, nonprofits are demanding trust by design, not as an afterthought. Expect to see hybrid models emerge, where AI supports but never replaces human judgment. The organizations that get this balance right could not only raise more, but also raise better. Reader CTA Should nonprofits slow down AI adoption until ethical frameworks are stronger — or risk falling behind? Tell us what you think.

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AI in Fundraising Hits Ethical Speed Bump, New Report Finds

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