About the Lloyds Banking Group Credit Union Development Fund
The Lloyds Banking Group Credit Union Development Fund is part of the Group’s ‘Helping Britain Prosper Plan,’ which was launched in March 2014, and is part of its commitment to improve financial inclusion levels across the UK. It was set up as a four year fund with £1 million available each year. Following the success of the first four years, Lloyds Banking Group added an additional £2 million to the Fund for distribution in 2018 and 2019.
Grants are to existing credit unions which can show good performance and strong plans for their future development.
There are two types of grant:
- Large Grants (of between £50,000 and £100,000) will provide a contribution to a credit union’s reserves and help remove barriers to growth and innovation. Open to all credit unions including previous Large Grant winners (with some additional criteria).
- Seed Grants (of between £10,000 and £20,000) to help credit unions invest in resources and activities to improve sustainability and increased efficienc
£6m of funding to credit unions across the UK over 6 years to support sustainable growth focused on building reserves, supporting mergers and other key investments to put them in a position to advance growth. It expanded the provision of affordable credit in communities across the United Kingdom.
The Fund was provided through a mixture of Large (up to £100k) and Seed (up to £20k) Grants to improve sustainability and remove barriers to growth.
Across the period the Fund has delivered over £6m in the form of 120 awards to 95 credit unions in Scotland, England, Wales and Northern Ireland, enabling:
- 73 boosts to credit unions’ reserves to support sustainable growth;
- 17 credit unions to invest in technology to allow credit unions to serve their members even better;
- 11 contributions to staffing costs that meant credit unions could invest in marketing and business development activities to fund future growth;
- 11 credit union mergers with others and secure economies of scale and better services for members, and;
- Contribution to 9 marketing efforts to extend the awareness of credit union services to more people who can benefit from them;
- The purchase or refurbishment of 8 credit union premises to support better service delivery to members.
If the Development Fund had not existed, these credit unions would have had to have found alternative ways to make these key investments, slowed their growth or not made them at all meaning they would not have been able to expand their services as quickly and continue serving more and more people across the UK with access to affordable credit in their local community.
y for lending, such as the costs related to a merger or investment in digital improvements.
More information about Lloyds Banking Group’s Credit Union Growth Plan can be found by clicking here.
If you have any queries regarding the fund, please contact email@example.com or 0161 832 3694.