A Welsh Government backed credit union has attracted more than £1 million of savings from people in Torfaen and Monmouthshire, Communities Minister Jeff Cuthbert revealed today when he visited one of its branches (Thurs 13th Feb).
In 2010 Gateway Credit Union held £519,293 in savings, but the latest figures show it now holds £1.1 million. It has increased membership by more than 100%, from 1,410 to 2,930 over the same period. The credit union has also successfully attracted more junior savers with 627 now holding accounts, a 400% increase.
Gateway Credit Union is working with local councils and social housing associations to offer affordable loans and accessible savings to tenants. It is working to offer low income members a range of saving accounts and loan products.
The Welsh Government has provided financial support to Gateway for a number of years and recently announced a new £1.25 million funding package to increase credit union membership across Wales. Gateway is to receive £10,000 of this funding to increase loans and attract more members from Cwmbran, Abergavenny and Chepstow.
Communities & Tackling Poverty Minister Jeff Cuthbert will visit their Pontypool branch. He said:
“Gateway Credit Union is playing a vital part in growing the credit union movement here in Wales. In the last four years it has boosted membership, attracted more savers and reached out to young people, helping them to learn how to manage their finances.
“The Welsh Government is determined to support the growth of affordable financial services such as these as people see a squeeze on their standard of living and the growth of high-interest lenders and pay day loan firms.
“There are now approximately 73,000 credit union members across Wales and our aim is to have 6% of the population as members by 2020.”
