Skip to main content

Credit Unions

Volume 575: debated on Thursday 13 February 2014

3. What guidance the Church Commissioners are providing to church congregations on supporting local credit unions. (902580)

Substantial material on the Church of England’s website is publicly and readily available to church congregations to download to assist them in supporting local credit unions. The Archbishop of Canterbury has written to all clergy to encourage them and their parish churches to support the new resources, working with their local credit union and continuing to assist those in need.

The Dunstable deanery wants to set up a credit union, and the Money Matters credit union—I save with it myself—is working with Leighton-Linslade town council to set up a credit union in Leighton Buzzard. Churches can help there too. Do the Church Commissioners agree that we need more saving as well as more affordable lending?

I entirely agree with my hon. Friend. Ever since the Archbishop of Canterbury indicated that the Church hopes over time to help compete payday lenders out of business, there has been considerable interest from parish churches right across the country about helping to support credit unions in their local areas and dioceses.

Will the Second Church Estates Commissioner take on board the fact that although many of us support credit unions, if we are to move with the times it is crowdfunding and crowdsourcing that are appropriate to local communities and congregations? That is being pioneered in some areas, so will he consider it?

As the last debate on this subject in the House demonstrated, there are a number of responsible ways to help people in difficulties to access credit, other than recourse to payday lenders.

Not just church congregations but individual members can use credit unions. Now that the law has been changed, organisations can set up community accounts. Does the right hon. Gentleman agree that churches ought to look at investing their own funds in credit unions?

Yes. Indeed, many churches are already doing so. I can send the hon. Lady details of a number of diocesan-led initiatives that are doing exactly that.