Record Levels of Lending Recorded in Latest Bank of England Data

02/08/2024

On the 31 July 2024, the Bank of England published its latest quarterly statistics for the credit union sector, which shows a record level of increase in lending by 21%.

The statistics state the largest year-on-year increase after 2022’s, 15% rise in loans to members.

Commenting on the recently published data, ABCUL CEO, Robert Kelly said: “Credit unions will continue to serve communities and employers in these testing times through the provision of ethical and responsible products and services – our mantra of people helping people will continue to be the bedrock of everything we do.”

The recorded levels of growth within the credit union movement suggests more people are focused on relying upon community financial providers. With a continued stretch on people’s finances due to households continuing to grapple with rising living costs, the sector also rose its total membership figures, rising by 4.6%.

“As membership numbers continue to increase, the sector is supporting even more people with the exemplary care and services always offered,” Robert added.

Research from Fair4All Finance, revealed how nearly half of all UK adults are now living in financially vulnerable circumstances – urging how credit unions can fill the gap to support those most in need.

“We know from our research that 20.3 million adults are now living in financially vulnerable circumstances, and more than one in ten (11%) have increased their reliance on illegal borrowing or loan sharks in the last year,” says Lauren Peel, Director of Consumer Insights at Fair4All Finance says.  “These high-risk options have no place in an inclusive financial system and credit unions play a vital role in helping people to build financial resilience.”