Credit Unions in Wales Receive £844,000 Welsh Government Funding
11 May 18
Credit Unions across Wales will receive over £844,000 of funding over two years for projects supporting communities who are struggling financially.
With 21 credit unions in Wales helping communities become financially responsible to promote financial wellbeing in the workplace to local businesses and the launch of the Credit Union of Wales Payroll Partner Mark.
The Mark was launched to recognise those employers who are committed to the financial wellbeing of their staff. 140 businesses across Wales who have existing payroll partnerships with credit unions have gained the Payroll Partner Mark. The funding credit unions will receive is going to provide more money to help with employees receive loans to help deal with struggling finances.
Leanne Herberg, Chief Executive of Cardiff & Vale Credit Union recently appeared on ITV Wales News explaining the issues around debt and the role of credit unions in helping people avoid payday lenders. Leanne stated that it is vital for the growth of credit unions in Wales that they continue to offer pay roll schemes in the work place and it will help credit unions boost their profile.
The funding by the Government will also help projects such as, a prison savers scheme run by Bridgend Lifesavers Credit Union, a collaborative project led by Bridgend Credit Union to develop a mobile banking app to benefit six other credit unions and also a school savings and money skills project by Bridgend Credit Union and Cardiff & Vale Credit Union.
Alun Davies, Cabinet Secretary for Local Government said: “We all know the important role credit unions play in helping people who are struggling to manage their money.
“This is particularly useful to prisoners, allowing them to leave custody with savings and a credit union account. This can help former prisoners reintegrate into society, for example, making it easier for them to pay their rent and to receive wages from employment – all important factors in reducing reoffending.”
Rebecca Evans, Minister for Housing and Regeneration said: “Credit unions in Wales deliver financial awareness education to adults and children. They help to equip people to make good financial choices, and avoid irresponsible lenders. They support people dealing with debt problems, and provide some of the most vulnerable people with sound financial products that they would struggle to access elsewhere.”
Jane Hutt AM for Welsh Labour believes that credit unions are essential to help those most disadvantaged. Jane says: “The Welsh Government is committed to supporting credit unions in Wales and has invested in them since 2000. This is because we recognise the important contribution credit unions can make in tackling financial exclusion, especially in communities where disadvantage persists.”