Charity Bank aims for major growth
Howard Lake | 15 May 2007 | News
Charity Bank, the only not-for-profit bank in the UK, is intending to more than double in size in the next five years.
It is undertaking a major capital initiatives so that it can deliver a sustainable fundraising regime for social enterprises and voluntary organisations.
At the organisation’s AGM chief executive Malcolm Hayday said the bank had achieved overall growth rate of just under five per cent durign 2006 and increased net lending by 50 per cent to £16.4m.
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An increase in loan enquiries of more than £100m showed that borrowing is clearly becoming a mainstream source of finance for many charities and social enterprises, said Hayday. This reflects a broader change in the way that they manage their finances and underlines why we need to expand to meet this need.
As well as the expansion plans, the bank is to undergo a structural reorganisation which will involve the development of a more widespread regional network to creater closer on-the-ground working relationships with loan applicants, investors, depositors and other stakeholders.
It has also undertaken a wide consultation process with its stakeholders prior to implementing a system of measuring the social outcomes and impact of its activities. It is now developing a values statement that will form the basis of the social reporting system and will announce further details next year.
So far the bank has agreed loans totalling more than £55m for more than 500 charitable organisatiosn.
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About Howard Lake
Howard Lake is consultant editor of UK Fundraising. He founded the site in 1994 and successfully sold it in 2022. As director of Giving X Ltd he is exploring growing giving on a massive scale.
He is the founder of Fundraising Camp and co-founder of GoodJobs.