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Social finance pioneer Hayday steps down from Charity Bank

14 February 2012
photo of Malcolm Hayday

As I step down, Charity Bank is well-positioned for sustainable growth. I have no doubt that this is the most exciting and satisfying job in banking.

Malcolm Hayday, stepping down as Charity Bank CEO

Malcolm Hayday, CEO and one of the founders of Charity Bank, has decided to step down from the post this year.

Under Hayday’s leadership, Charity Bank has grown from concept to launching as the world’s first general registered charity that is also an authorised bank.

This year Charity Bank celebrates its 10th anniversary, with the bank’s balance sheet at the end of 2011 exceeding £80m, an increase of almost 20% on the previous year, and many times the opening figure of £6.4m in 2002. It also expects to report a surplus of over £350,000. 

In its first 10 years under Mr Hayday’s leadership, Charity Bank has made more than 1,000 loans, reached a further 1,000 organisations with business support and touched the lives of 3.5 million people in communities across the UK.

Hayday is acknowledged as one of the pioneers of social finance. He joined the Charities Aid Foundation (CAF) in 1993 to explore the possibility of loan finance as a new resource for the charity sector. In 1995, Hayday started Investors in Society, a successful pilot loan fund, before overseeing its formal incorporation as Charity Bank in 2002. His work with CAF, followed by the successful launch of Charity Bank, helped to pave the way for the growing number of social finance institutions in the UK and throughout the world.  

‘After 19 years of establishing and growing the Charity Bank model to the point of profitability, I believe now is the right time for me and the right time for Charity Bank, to hand over the reins to a successor who can take the bank to new heights,’ commented Hayday. 

‘I am extremely proud of Charity Bank’s achievements, as we have developed a unique banking model that responds to real social needs by financing charities and social enterprises. As I step down, Charity Bank is well-positioned for sustainable growth. I have no doubt that this is the most exciting and satisfying job in banking. I have agreed to stay on until the right successor is found.’

George Blunden, chair of Charity Bank, said: ‘Malcolm has secured his place in the history of social finance and we thank him for leaving us with a thriving organisation. His dogged determination to realise the vision of a bank from and for the charity sector has brought about change in the way charities are financed. 

‘That change is now gathering speed; the social finance sector has a key role to play as the economic outlook remains challenging. We wish Malcolm well as we begin our search for the leader who will take forward and build upon the strong foundations Malcolm has laid.’

Charity Bank has begun the recruitment process for a new chief executive.  Interested parties should contact Robert Watsham at Odgers Berndston: robert.watsham@odgersberndtson.co.uk, 020 7529 111.