Scottish Government reiterates support for Credit Unions

Tuesday 23 January 2024

The Scottish Government this week published its Programme for Government, which sets out its plans for the coming Parliamentary year and reiterates its support for the credit union sector.

The Scottish Government will “build upon our existing and extensive work to support social enterprises and Credit Unions which provide vital financial services for some of our most deprived communities”. It notes that a new Credit Union Strategy will be launched by the end of the parliamentary term (next Spring).

The Programme also includes a commitment to work with the Carnegie UK Trust to increase access to affordable credit. ABCUL is a member of the strategy group tasked with developing a new strategy and works closely with the Carnegie UK Trust.

“We welcome the Scottish Government’s recognition of the importance of affordable credit in the Programme for Government, and their commitment to support existing providers, build on work to support Credit Unions and CDFIs and explore working with others to increase access to affordable credit.

One of the implications of Covid-19 will be lenders tightening their affordability criteria. It becomes ever more important in the months ahead that the profile of, and access to, affordable credit is an option for lower income households that may need to access it. We look forward to working with the Scottish Government in this important area.”