Charity Bank announces record loans

Charity Bank today announced record lending for 2009 with £8.5m of loans – more than in any previous year.

That brings the total amount of loans drawn down by social enterprises and charities to £37.9m to date and Charity Bank expects it will break through £40m for the first time in July.

Charity Bank CEO Malcolm Hayday said the bank planned to do even more for the sector in the future.

He said: ‘We have ambitious plans to increase our support to organsations that address society’s needs.’

At the same time Charity Bank, which is the UK’s only regulated bank that is also a registered general charity, released key findings from its first ever impact report. This will be published at its annual general meeting on 19 May.

The impact report highlights that 88 per cent of borrowers found that a Charity Bank loan made a major or significant contribution to the achievement of their mission and that 69 per cent secured additional sources of funding as a result of the Charity Bank loan.

Hayday added that deposits in Charity Bank grew by 25 per cent in 2009, reaching £44m.

He said: ‘I am especially pleased that private individuals are expressing their trust and confidence in a more transparent banking model that puts people at its heart.’

The Charity Bank results mirror good news from other specialist third sector banks which have also reported strong growth.