ONN published Ontario’s nonprofits: Focused on preparedness during uncertainty report based on the 2026 State of the Sector survey data. This year’s report frames ONN’s survey findings in the form of indicators that evaluate the health of the sector year-over-year, through crises and beyond. With these indicators – capacity and demand, revenue and expenses, access to and use of reserve funds, human resources, volunteers, and risk of nonprofit closures – ONN hopes to underscore the health of the sector and ultimately the health of Ontario’s communities.

Highlights from the 2026 State of the Sector survey:

  • Demand is slowing, but is still at a high level, causing some improvements in capacity to meet demand. 77% of nonprofits report an increase in demand for services, while 60% report they can only somewhat meet demand.
  • Expenses are outpacing revenues as revenues continue to flatline and decline and expenses plateau at a high level. While 44% of nonprofits report revenue increases, 84% of nonprofits report increases in expenses. Just under a third (31%) of respondents do not have access to a reserve fund, and over a third (34%) have used their reserve funds.
  • HR crisis persists. 53% report staff recruitment and retention challenges. Nearly half of the respondents (47%) report using volunteers to fill staffing gaps.
  • Volunteer crisis is growing. 45% report volunteer recruitment and retention challenges, with board members being the most difficult roles to fill.
  • Risk of nonprofit closures at all levels is not improving. 59% of nonprofits report being at low risk of not existing in the next three years.
  • Nearly 2 in 10 nonprofits report experiencing hostility against their missions in the past year or prior to April 1, 2025.

For further information or to download the report, click here.