Citysave Credit Union Angela Clements, CEO. Overview Introduction Background – Our Communities 2012 Social needs Barriers to accessing banking services.

Citysave Credit UnionAngela Clements, CEO

OverviewIntroductionBackground – Our Communities 2012Social needs Barriers to accessing banking servicesAlternative banking – A way forwardsCommunity solutions 2015

Community 2012

DiverseBusyUsing a range of financial providersLittle savings bufferLow trust in bankingAt risk from predatory corporate behaviour

Feasibility & Need>9m adults do not have access to transaction

banking or pay over £100 per year in excess fees‘Poverty premium’ is estimated at £1,000 for

purchase of essential goods & servicesPersonal debt includes rent arrears and fuel

arrears and growth in high cost lending

Unstable household finance is a barrier to stable family life, moving home, to building a career

A barrier to enterprise

Alternative Banking - visionEthical, affordable and accessible ‘jam jar’ banking

planCreate ‘savvy’ and empowered consumers, actively

combating predatory behaviours of other service providers

Create stable households, remove barriers to enterprise and needs for multiple and repeated interventions

Create a stable credit union sector, based in local communities with long term valued services to members, a higher profile and a clear branded offering with collegiate operation

Barriers to overcomeMobility LanguageTrustLethargyLiteracyConfidenceCredibilityEfficiencyFit for purpose

Credit Union SectorIn the UK for almost 30 yearsSimilar background to Trade Unions &

Cooperatives 400 credit unions serving c1% of populationSavings £762m and lending £604mRun by members for benefit of members Each serves a common bond Not for profitRegulated by FSASavings protected by FSCS

Credit Union Expansion Project

To achieve 1m new members by 2019

Increased lending to £1bn by 2019

Make credit unions sustainable by 2019

Potential DWP feasibility report 2012 - “credit unions

appear to be the only other realistic option”Between 25% and 50% of the populations of

the USA, Canada, & Australia are credit union members

5% of UK market within 5 years – 5th largest personal bank in UK

Alternative Banking SolutionsAn entity made up of credit unionsAccessible, affordable and ethical banking

solutions delivered through credit unions United, credit union led solutionsPartnerships driven by credit union ethos to

deliver in its communitiesEach credit union strengthens in its identity and

value to its community, through efficient partnering

Credible and coherent, low cost, high impact financial solutions fit for a society who have lost faith and trust in current providers

Partnering...CareHousing providersSupport systemInterventionEmployersWelfare to workCouncilsMutualsUtilities Corporates

Technology – TCS Web basedImmediateResponsiveFuture proof

Global best in class IT solutions

Contact CentrePersonal, telephone based small teamsService is rapid, prompt, and proactiveInitially Birmingham7 days a week – flexible hours & multiple

delivery channels Engaged and supportiveMembership based

Glasgow next, Liverpool, North East....

A managed serviceIncome comes in to the pot from wages / universal credit& automatically split into

Rent Council tax Bills Loan Savings Free

Members must have a savings plan – min of £2 per week Free balance account has a leading prepaid card Member may nominate all key household bills to be paid

including utilities, TV licence, internet, household insurance

Low cost, high impactAccess points at all credit unions and trusted partners for multi channel delivery

High visibility and easy to use overcoming digital exclusion

Members assistance plan – debt, legal and medical emergency advice

Reducing payment costsKey household bills that many struggle withUsing digital payment technologyChange bill payment structures & remove the

burden to the payer Work with payees – reducing collection costsWork with DWP on universal credit deliveryInnovative, joined up thinking and delivery ....

To drive out cost

Cost is always borne by the consumer

Community 2015Better money managementBetter payment solutionsRemoval of poverty premiumBranded and trusted financial alternative Good access to community based financial

institutionsIncreased saving ethic with less reliance on

borrowing to meet minor emergenciesAccess to affordable lendingAccess to first time buyer mortgages

A credible & sustainable credit union sector

Credit Union Movement

Is moving ......

Q&A please

Who are Tata ?The Tata Group are the largest manufacturer in Britain with over

50,000employees across 19 companies and more than 40 towns and cities.

Corus Steel Jaguar Land Rover Tetley Tea Restaurants and Hotels Tata Consultancy Services / IT

Tata's connection with Britain goes back to 1863 and the cotton mills of Lancashire. Tata made a donation to The London School of Economics to research poverty - this led to

theestablishment of the Department of Social Sciences in 1912. One of our twin buildings was donated by Queen Victoria in recognition of our links with

Britain

Tata Consultancy Services - Financial Solutions and CUEP

Social responsibility is a core belief within TCS.

Major Banking player with 250 plus Banks worldwide inc. State Bank of India and Bank of China

Major UK player - winning 2 of the most recent Public Sector Banking centric implementations in the UK i.e. The Nest and Child Maintenance Group

Two UK Credit Unions going live as we speak

3000 plus in China and major installations in Australia

TCS BaNCS is top rated by all the major industry consultants eg. Gartner, Tower, Forrester

Offering a step change to the Industry with a tried and tested, robust, scaleable solution which has a committed future