Tackling Financial Exclusion Through Local Finance Partnerships

The report Tackling Financial Exclusion Through Local Finance Partnerships has been launched as a result of a research on local finance partnerships by the EMN member Responsible Finance and funded by the Barrow Cadbury Trust.

Local finance providers, such as responsible loan funds and credit unions support financial inclusion for those who are unbanked, underbanked or borrowing high cost credit. This research looks in depth at three high-impact local finance partnerships and considers how others can adopt and scale this model to comprehensively tackle the challenges of financial exclusion.

The report calls for:

  • Local finance organisations to embrace the organisational and customer benefits that partnership can offer;

  • Strong leadership by networks and trade bodies to foster the incubation of innovative partnerships to meet local demand;

  • Adoption of technology that aids the partnership set up and management process; and

  • Proportionate and nimble regulation that enables organisations to more closely collaborate on the delivery of services to reach a larger market.

As more Britons face income volatility, the report suggests responsible finance providers will play an increasingly critical role in helping those households navigate these economically uncertain times.

Access the full report here or read the summary.