Charity Bank and Triodos on track for record loans

Charity Bank and Triodos Bank have released mid-year figures that show they are on track for record lending to social enterprises and charities.

During the first six months of 2010 Charity Bank agreed loans totalling £20,932,750. This compares to £22,902,216 agreed during the whole of 2009.

Triodos’ half-yearly figures show lending of £34m agreed in the first half of 2010, compared with £41m achieved in the whole of 2009.

Charity Bank CEO Malcolm Hayday said some of its record business was due to other sources of funding for civil society organisations drying up.

Hayday said: ‘Some of the organisations we have supported have come to us because their funding has been withdrawn, while others have been attracted by the certainty and service we offer.’

Both Hayday and relationship manager at Triodos Bank Tracy Axten pointed to the upcoming public spending cuts as a reason why the strong growth in loans would continue.

Axten said: ‘Against the background of deep cuts in public sector spending we want to continue to support our customers through difficult times.’

Hayday said that Charity Bank was hoping to loan even more as the year went on. The bank has also announced a 0.5 per cent reduction in existing lending rates to social enterprises and charities.

Charity Bank has also seen strong growth in deposits made by customers. Deposits in the first six months of 2010 increased by £5.3m compared to £6.3m during the whole of 2009.

Both Charity Bank and Triodos also reported record lending in 2009.