To ask the Chancellor of the Exchequer, what assessment he has made of the potential merits of bringing forward legislative proposals to allow credit unions to offer (a) insurance services and (b) credit card services.
Answered on
18 January 2021
The Government recognises the vital role credit unions play in the financial wellbeing of their communities, providing an ethical home for their members’ savings, and affordable loans to those who may otherwise have to resort to high-cost lenders.
The Chancellor announced at Budget 2020 that the Government intends to bring forward changes to the Credit Unions Act to allow credit unions to offer a wider range of products and services. The Government is engaging with sector representatives and carefully assessing options before bringing forward legislation to ensure that we are delivering reforms which meet members’ needs and support the development of the credit union sector.