Lloyds Fund deadline approaches
15 Apr 16
Applications close soon for the Lloyds Banking Group Credit Union Development Fund.
The Fund, which is managed by the Credit Union Foundation with all grant award decisions made by an independent Grants Committee, has already seen £2 million shared by 38 credit unions across the country in its first two years.
All credit unions authorised to operate in England, Scotland, Wales and Northern Ireland can apply for an award, provided they have not already received a large grant from the programme.
The funding programme has been designed to strengthen the financial position of credit unions and give them the capacity to develop new strategies for sustained and effective growth.
Two kinds of grants are available:
- Large awards (of between £50,000 and £100,000) will provide a contribution to a credit union’s reserves or capital activities and help remove barriers to growth and innovation.
- Seed funding awards (of between £10,000 and £20,000) will help credit unions to make the changes they need to apply for a large award in a subsequent year or to pay for the costs of merger in certain circumstances.
The Co-operative Credit Union received a large award of £100,000 in 2014 to support their reserves and allow them to investigate the feasibility of their plans for growth.
The credit union was seeking to extend its membership beyond employees of the Co-operative Group to allow it to serve people employed by or associated with a wide range of organisations in the co-operative and third sector.
The Co-operative Credit Union now serves members of the USDAW shop workers trade union, members of the National Association of Co-operative Officials, members of the Co-operative Party, and employees of the Midcounties Co-operative Society, as well as 8 other new partner organisations.
As a result, the credit union added more than 1,000 new members in a year – an increase of more than 20% – and is well on its way to reaching its ambitious target of 10,000 members in 2017.
Lloyds Banking Group’s financial commitment to credit unions is set out in its Helping Britain Prosper Plan. Published in March 2014, this sets out a target to give £4 million to credit unions between 2014 and 2017 and to increase colleague participation in – and the impact of – its community programmes.
Full details of how to apply to the Credit Union Development Fund are available here.