Council set to promote benefits of credit unions for local residents

Cambridge City Council is planning to boost the help it provides for residents on low incomes in the city by expanding its support for the work of credit unions.

 

A report being discussed at Strategy and Resources Scrutiny Committee on 12 October outlines a plan to increase the visibility and availability of credit unions in Cambridge.

The project would see an expansion of access points to the credit unions operating in Cambridge, Eastern Savings and Loans, and Rainbow Savers. Five new sites where residents can join or speak to the credit unions would be established at locations across the city, bringing the total number of access points in the area to 10.

In addition, a ‘financial inclusion hub’ would be created at the council’s Customer Service Centre on Regent Street. This would be a ‘one stop shop’ where residents could obtain affordable financial services as well as advice and support from groups including credit unions, the Citizens Advice Bureau, local food charities and trained council officers.

There would also be an increase in promotional activity by the council to raise awareness of credit union services and other financial inclusion activity, and a campaign to recruit and train volunteers.

Support for inclusive banking and loan services such as credit unions forms an important part of the council’s Anti-Poverty Strategy, which aims to tackle the inequality that exists in the city.

Cllr George Owers, Executive Councillor for Finance and Resources, said: “Due to factors including low incomes and the high cost of living in Cambridge, some residents have very limited access to savings and are potentially more vulnerable to loan sharks and high interest lenders,

“Credit unions offer a great way to help people save and plan their finances, as well as being a safer source of small loans than loan sharks or payday lenders if someone’s need is pressing. We are committed to help promote credit unions in Cambridge.

“This plan outlines the first stage of bolstering the Credit Unions’ visibility and activity, but in the future we hope to go further and work towards a more ambitious strategy, including the possibility of a standalone city centre shopfront for the Credit Unions.”

Costs for the project would total £50,000 and will be allocated from the council’s Sharing Prosperity Fund.

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 Contacts

Cllr George Owers, (Labour Group) Executive Councillor for Finance and Resources, email george.owers@cambridge.gov.uk, tel: 07833 012979

Cllr Tim Bick (Liberal Democrat Group), Opposition spokesperson, email: tim.bick@btinternet, tel: 07720 413173

Cllr John Hipkin (Minorities Group), Opposition spokesperson, email: castleindependent@gmail.com, tel: 01223 564126


Liz Bisset, Director of Customer and Community Services, email: liz.bisset@cambridge.gov.uk, tel: 01223 457801

Debbie Kaye, Head of Communities, Art and Recreation, email: Debbie.kaye@cambridge.gov.uk, tel: 01223 458633

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