13 December 2011
Bucking the credit crunch: the most innovative community finance providers of 2011 revealed
14 organisations lending money to businesses, individuals and social enterprises have been named as finalists for a new Award scheme celebrating innovation in community finance and supported by Barclays.
Access to finance is crucial for businesses and individuals to enable them to reach their potential and contribute to the UK’s recovery. But the tougher financial climate means that many are struggling to get finance from high street banks and loan companies and are increasingly turning to Community Development Finance Institutions (CDFIs).
CDFIs provide creative and innovative solutions to their business, social enterprise, and individual clients. To recognise, celebrate and share this innovation the organisation which represents providers of community finance – the Community Development Finance Association – this year launched an Innovation Awards Scheme – showcasing ‘best in class’ community finance.
Sponsored by Barclays, the awards attracted impressive entries from CDFIs all over the UK.
Steve Cooper, Managing Director, Products and Segments, Barclays Business said: “Social enterprises make a huge contribution to the local economy and it’s crucial that community finance is available for their development and growth. We are committed to helping revitalize the UK economy, and very much open for business, helping SMEs through the tough economic climate. Barclays work with community development finance institutions across the UK and we are delighted to be supporting these awards which are a great way of recognising the imagination and variety of ideas put forward by CDFIs. Congratulations to all the finalists.”
The shortlisted projects are:
Innovation in Marketing Award
- Black Country Reinvestment Society
- Five Lamps (Teesside & North East)
- Lancashire Community Finance
- UCIT (Belfast)
Innovation in Partnerships Award
- Business Enterprise Fund (Bradford)
- Donbac (South Yorkshire)
- Foundation East (Suffolk)
- Northern Pinetree Trust (County Durham)
Innovation in Reaching New Markets Award
- Isle of Wight Lottery
- Impetus (West Midlands)
- London Rebuilding Society
- The Key Fund (Yorkshire)
Innovation in Technology Award
- GLE (London)
- Street UK (West Midlands)
The winners will be announced at a ceremony on January 31st 2012 in Westminster where the CDFA will also launch a new vision for the community finance sector, Just Finance: The Community Solution, an ambitious yet achievable plan to ensure that communities across the UK have access to fair and affordable finance.
Developed with support from The LankellyChase Foundation, Just Finance will outline how community finance, already so crucial to credit easing and micro-level economic recovery, can grow to offer Government and banks a solution to provide access to credit for more SMEs, social enterprises and individuals in deprived communities.
CDFA’s Chief Executive, Ben Hughes, said: “In these times of extreme economic uncertainty, and the disproportionate impact this is having on poor communities, the role of CDFIs in increasing accessing finance is more impact than ever before. It’s inspiring to see such a range of truly innovative approaches and is a shining example of their determination to improve their offer to local communities. I welcome the Innovation awards as a marker of achievement for the finalists as well as for the CDFI sector as a whole.”
Media enquiries: tel: Jamie Veitch, 07904 272 200 / [email protected] Photographs of Finalists’ projects available on request.
Notes to editors
- The Community Development Finance Association supports and represents CDFIs throughout the UK.
- CDFIs are making a difference to businesses, social enterprises and individuals in some the UKs most deprived communities.
- CDFIs disbursed £23m worth of loans to micro enterprises and SMEs last year, creating and saving around 1,400 businesses, 5,700 jobs and contributing £170m to the turnover of the UK economy, primarily in the most disadvantaged areas of the country.
- In addition, for each pound the sector lent, businesses have been able to leverage an additional £2 from mainstream banks.
- An independent evaluation of the sector commission by BIS in 2010 described CDFIs as “efficient delivery mechanisms” for addressing access to finance and called for greater bank and governmental support for the sector.