Rebuilding Public Trust
The start of 2025 has been marked by what the latest Edelman Trust Barometer has described as a ‘Crisis of Grievance.’ Following a year in which nearly half the world population participated in national elections, the outcomes have shown a dramatic shift towards nationalistic leaders who have capitalised on this widespread discontent. The implications for democratic institutions, social equity, and economic stability are profound, and the ripple effects will continue through the elections of 2025 and beyond.
For Australian not-for-profit (NFP) organisations, this erosion of trust presents both challenges and opportunities. The sector, traditionally held in high regard as a force for social good, is facing increasing scrutiny as overall trust in institutions declines. Edelman’s latest findings highlight three key factors driving this crisis:
A declining belief in a better future for the next generation (with no Western democracy scoring above 30% in this area).
A profound distrust of leadership (66% of people believe leaders lie to serve their own ends).
The collapse of shared facts, as opinion-driven narratives replace objective truth (66% of people report difficulty discerning factual information).
The Changing Landscape for Australian NFPs
Historically, Australian charities and NFPs have enjoyed high levels of public trust, often ranking above government and corporate entities according to Edelman. As Edelman states, during the pandemic, corporations stepped into the social and environmental space, leveraging their resources and perceived competency to fill gaps in public service. Now, as many businesses retreat from these broader responsibilities to refocus on core business priorities, a leadership and funding vacuum is emerging. This shift is exacerbated by government belt-tightening following pandemic stimulus measures, leaving essential social and environmental initiatives in jeopardy.
The impact of these trends is deeply felt by younger Australians, particularly Gen Z, who are experiencing increasing inequality—described aptly by former Treasury Secretary Ken Henry as ‘intergenerational larceny.’ As social and political polarisation accelerates, younger generations are placing their trust laterally into peer networks and community-driven initiatives rather than traditional institutions. This shift underscores the urgent need for Australian NFPs to redefine their role, reinforce their legitimacy, and actively rebuild public trust.
Rebuilding Trust: A Strategic Imperative
Australian NFP leaders are facing this trust crisis head-on. Many are revisiting their purpose and mission to ensure relevance in this rapidly shifting landscape. At the core of these efforts are fundamental questions:
What does public trust look like in our different contexts?
How does it influence our ability to create impact?
How do we gain it? How do we lose it?
Consultation, surveys and focus groups have become important mainstays of our work at GoodWolf to help organisations with a social purpose consider ways to respond to these questions and reset their sails in these gusty conditions. The organisations that successfully navigate this crisis will be those that actively listen, adapt, and create transparent, inclusive pathways for engagement with the communities they serve.
Lessons from Cultural Institutions
Cultural institutions, particularly museums, offer an instructive case study. Once among the most trusted institutions globally, they have faced a steady decline in public confidence over the past 30 years, compounded by funding challenges. In response, some have embraced radical transparency and public participation to reclaim relevance.
The Victoria & Albert Museum (V&A) in London provides an illuminating example. With a vast collection largely hidden from public view, the V&A launched the ‘Open Storehouse’ initiative—an online, searchable archive allowing audiences to explore, comment on, and reinterpret objects, many of which have complex colonial histories. By inviting open dialogue and engagement, the V&A has begun to rebuild trust with younger, diverse audiences, demonstrating the power of inclusivity and openness.
Applying These Lessons to Australian NFPs
The approach taken by institutions like the V&A offers valuable insights for Australian NFPs seeking to rebuild public trust. As Tim Reeve, Deputy Director of the V&A, recently outlined in an ABC interview, trust-building requires:
Courage to engage in difficult conversations – Acknowledge the evolving social and political landscape and respond proactively.
Diversity and complexity in storytelling – Reflect the experiences and voices of a broader audience.
Openness and transparency – Provide clear, honest communication about challenges and decisions.
Active engagement – Foster meaningful interactions with stakeholders and communities.
Audience-building – Develop initiatives that align with contemporary values and expectations.
Relevance and sustainability – Align programs with the current needs of society to ensure long-term impact and financial stability.
The Path Forward
For Australian NFPs, restoring public trust is not just a reputational concern—it is fundamental to their ability to deliver social impact. Organisations that embrace transparency, actively engage with communities, and adapt to shifting expectations will be best positioned to navigate this new era of grievance and uncertainty.
As the Edelman Trust Barometer warns global leaders, ‘rebuilding public trust is the key to unlocking hope.’ For Australia’s NFP sector, this is the moment to step forward and lead with renewed purpose and resilience.