I would say that at this moment, many have lost faith in the Catholic Church because of the past it carries and the current scandals that the Church has been so slow to act upon. When the Church did have supreme power in Europe, many experienced the extensive corruption and violence done in the name of the Church and as a result, Europe has not forgotten the fallacy of what once was the cornerstone of the Christian faith.
As a result, many variants of the Protestant faith have flourished, grown and are now waning because people see the same hypocrisy and corruption in these churches as they have in the Catholic faith. There's less of a willingness to commit to a faith or tradition, because of a lack of trust.
I think many are seeing what extreme views mixed with religion can produce...sectarian violence and wars, along with racism and bigotry. Never has the old saw been more true "Praise the Lord and pass the ammunition".
Churches can never be sanctified unless the people in them are willing to hold those in power accountable. And before they can start preaching to the world what should or should not be done, they have to cleanse themselves...otherwise, they are no better than Pharisees in their apostasy.
That's how I see it.