The Data Use and Access Act 2025 makes a number of changes to our data protection laws – some having a more significant impact than others. For charities in particular there is a major change which will impact the way in which they can carry out direct marketing – due to the extension to charities of the "soft opt-in". This "charitable purpose soft opt-in" is expected to come into force in early 2026. Until then, charities should not use this for their fund-raising activities.
The "soft opt-in" broadly means that where a charity is contacted by an individual who is offering, or providing support to further the charitable purposes of that charity, then the charity in question will be permitted to use that individual's contact information to market to them for fundraising purposes. A similar soft opt-in is currently available to commercial enterprises, however historically charities have not been allowed to make use of this provision.
This naturally raises a number of questions for charities about exactly how this new rule change will apply to them and how to prepare for it. To assist with this, the Information Commissioner's Office (ICO) has prepared draft guidance aimed at explaining how it will approach the "charitable purpose soft opt-in", and how charities can prepare for it coming into force. The ICO draft guidance was launched alongside a consultation asking for feedback as to whether the guidance deals with the issues and questions the charities feel they are likely to have. Most importantly for charities, the introduction of the charitable purpose soft opt-in will not be retroactive – it will only apply to contact information collected after the new rules are in place. The consultation is open until 27 November 2025 and is open to all interested parties to respond, and we encourage charities to do so.
Shepherd and Wedderburn's data protection experts can provide support to charities looking to take the benefit of this soft opt-in when it comes into force – both in addressing changes to marketing policies and procedures, as well as advising on the limits of its application.
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