How The Not-For-Profit Sector Development Blueprint Impacts Your Australian Association Or Club

Sorry, I know that title is so boring that 50% of you probably fell asleep while reading it, but I promise that this is an important topic, and it is one I will do my best to make an interesting read. 

Let’s start with some background. In 2022, the federal government commissioned a report on the state of Australia’s charities and not-for-profits (NFPs). They also commissioned a blueprint to be drawn up with recommendations for supporting the sector's future development and growth.

The Blueprint Expert Reference Group (BERG) was tasked with creating this blueprint. Over the past few years, they have consulted with government departments, strategists, experts and key leaders in the NFP space. From this, they have developed a list of recommendations for what the government should do to ensure that NFPs have a bright future. The BERG submitted the Not-for-profit Sector Development Blueprint to the federal government at the end of 2024. 

While many of the items in this blueprint are recommendations for government action, there are several valuable takeaways from the report that can be helpful and insightful for running your own club or association. Plus, I’ve read all 25,000 words of the report, so you’re getting a summary whether you like it or not. 

 

 

Also, a quick note before we start. This blueprint is not responsible for the recent changes to tax laws for NFPs. I’m not sure where that came from, but given the speed at which the government works, I assume it was an idea Harold Holt shouted to one of his people on his way to a night swim. 

Okay, now that I’ve introduced the topic, sledged the government for being useless, and made a joke about a prime minister who is missing and presumed dead, we can start.  

How Important Are NFPs To Australia? 

One of the big action points from the blueprint is to ensure the Australian public knows how important NFPs are to Australia and just how much they contribute to society. I’m sure this is something you’re already well aware of. However, I thought it couldn’t hurt to review some of the standout figures. 

There are over 300,000 not-for-profits in Australia, generating a combined revenue of $200 million, roughly 7.8% of Australia’s total GDP. Australian NFPs also employ 1.47 million people, with a further 3.2 million people volunteering for free with NFPs. The 1.47 million employed by NFPs makes the NFP industry the same size as the combined mining, manufacturing, agriculture, forestry, and fisheries industries. Essentially, not-for-profits are a very large and important sector in Australia. 

The blueprint also highlights how vital the NFP sector is to Australia, the people, and advocacy, and it recommends that the government ensure that NFPs are allowed to grow and thrive. 

Here is a direct quote from the blueprint: 

“The NFP sector also plays a substantial role in the realisation of public reforms across a range of policy areas. The considerable reliance of communities and governments on the NFP sector, alongside the substantial investment of public money in it suggests governments should act strategically to create enabling conditions for the Sector to thrive.
Realising the goals of the Blueprint requires recognising the NFP sector’s value, as well as the necessary investment needed to promote its effectiveness and sustainability,” Not-for-profit Sector Development Blueprint, pg. 7. 

So, the good news is that your sector is very important, and as long as the government follows the recommendations they asked for, you should see more support in the coming years. Now, however, let’s talk about what shape that support may take. 

The 3 Pillars of The NFP Blueprint 

The Not-for-Profit Sector Development Blueprint is broken up into three pillars. These three pillars are the framework for how BERG recommends improving the conditions for NFPs over the next 10 years. 

These three pillars are the Regulatory For NFPs, People Led and Purpose Driven, and Adaptive and Forward Focused NFPs, as you can see below. 

 

Not-for-Profit Sector Development Blueprint, pg 13. 

Basically, these three pillars are improving the regulations around NFPs to allow them to grow, making sure that working conditions and representation are fairer and better, allowing NFPs to be more effective, and making sure the sector is ready for changes that come from rapidly evolving technology and climate change. Under each of the three pillars, there are a total of 18 different initiatives that BERG has recommended that the government implement. So, let’s look at all these initiatives. 

Pillar 1 - An enabling operational and regulatory environment for the Not-for-profit sector to thrive 

The six initiatives under pillar one are as follows: 

 

 

Not-for-Profit Sector Development Blueprint, pg 15. 

Basically, Pillar One is all about breaking down barriers and making things easier for not-for-profit organisations (NFPs). It's about streamlining rules and regulations, boosting baronetcy efforts, increasing funding, getting NFPs more involved in shaping government policy, collecting more accurate data to help inform policy and raising awareness of how important NFPS are. 

Pillar 2 - A people-led & Purpose-driven Not-for-profit Sector

The six initiatives under Pillar Two are as follows:

 

Not-for-Profit Sector Development Blueprint, pg 16. 

Pillar two is about putting people at the centre of the NFP sector, ensuring inclusivity, and supporting the workforce. 

In practical terms, it means encouraging NFPs to involve members in decision-making, helping get more First Nations people involved in NFPs that affect them, providing extra support for multicultural NFPS that positively contribute to Australia's diversity of ideas and people, and investing in disability representation in NFPs. Plus, there will be a focus on improving working conditions for employees and volunteers of NFPs, including government support to help make this happen. 

In short, Pillar Two wants to make sure that NFPs are inclusive, that they listen to the people they serve, and that they support their volunteers and staff.

Pillar 3 - An Adaptive & Dynamic Forward Focused Not-for-Profit Sector

The six initiatives under pillar three are as follows: 

 

 

Not-for-Profit Sector Development Blueprint, pg 17. 

This pillar is about preparing the NFP sector for the future, embracing innovation, and ensuring long-term sustainability. This will involve making sure NFPs have digital systems to help them out and are using them effectively (A surprising number of NFPs are still on pen and paper management). Pillar three will also improve rules around donations and grants, encourage government grants to the sector and help the sector undergo a review to identify climate risks and opportunities. 

In essence, Pillar 3 is about equipping clubs and associations with the tools, knowledge, and resources they need to thrive in a changing world, embracing technology, and contributing to a sustainable future.

The Not-For-Profit Sector Development Blueprint - Summary 

The full blueprint goes into a lot more detail on all of these points; however, given how early we are in the process, and these are just recommendations at the moment, I think we have gone into enough detail for now. You can read the full report for yourself here: Not-For-Profit Sector Development Blueprint.

Basically, this blueprint wants to make laws and regulations easier for not-for-profits, increase funding and recognition of them, ensure they are an inclusive environment that treats employees and volunteers correctly, and ensure that NFPs are supported and ready for the future.  

At this stage, these are just recommendations; how these will come into practice will remain to be seen, but I will keep you posted as things develop. It is worth noting that the Not-for-Profit Sector Development Blueprint was commissioned by the Labour Government. It remains unclear whether the Liberal Government is committed to implementing the recommendations of this blueprint if they are elected in the upcoming 2025 federal election. I reached out to two members of the Liberal/Coalition party for their comments on this commitment but have yet to receive a response. Should I receive a response after this article is published, I will include their comments in an edit.   

However, no matter which government is in charge and how closely this blueprint is followed, I think this is good news. The NFP sector is being recognised for how important it is, and steps are being taken to help support it for many years to come. 

How You Can Help Get Your Club Or Association Ready For Whatever The Future Holds

If you aren’t already using a digital system to help manage your organisation, now would be a very good time to start seriously considering it. We at Member Jungle are one such system, and if you want to find out more about us, you can read 7 Reasons Why Member Jungle Is The Right Choice For Your Club Or Association. 

However, we are not the only membership management system out there, so you may also want to have a look at The 3 Best Membership Management Software Systems In Australia.