Celebrating our 30th Anniversary in 2017

Putting people before profi t Foreword Foreword

I am proud that is celebrating its 30th Vision needs a practical application if it is to matter. Anniversary this year. Leeds Credit Union demonstrates We benchmark our operational performance against that there is a clear credit union difference. We are other major credit unions. We pay close attention to key different from high-cost lenders on the one hand, and banking ratios such as the cost income ratio. We monitor shareholder-led interests of the big banks on the other, innovation and developments wider than the credit by truly putting our members first. We still hold a place union world alone. of trust with our members and our mutual, educational and volunteer principles set credit unions apart. At the member level we monitor the quality of service we provide; we have welcomed the independent reviews From small beginnings 30 years ago, Leeds Credit Union of our performance undertaken by partners. has become a pioneer in its field. Over the years we From small beginnings 30 years have united with a number of other credit unions in Our operational goals are stretching. Our aspiration to Leeds to be one of the first to have a city-wide field of be the best credit union in the UK is a challenge, though ago, Leeds Credit Union has membership. More recently White Rose Credit Union by these words we actually mean rather more. That merged with Leeds Credit Union so that we now cover is, what it will take for us to be an even more material become a pioneer in its field. Wakefield too. We now also extend across the Harrogate financial services provider in the wider highly competitive and Craven local authority areas. environment. Among a wide range of creative approaches, we have We have tremendous partners. Our Local Authorities This briefing summarises the grasped the opportunities presented by the credit union and Housing Association partners really care about Legislative Reform Order to extend our common bond. Citizens and residents and their financial well-being. achievements of Leeds Credit This has allowed us to develop key partnerships at a Our employer partners are dedicated in helping their national as well as a local basis, and to enter enterprise employees to save. Together with activists, volunteers Union. More importantly it indicates lending. and straightforward enthusiasts they all play a fantastic part in the practical delivery of credit union services in I am extremely proud that we have a skilled and the many communities that we serve. our longer term determination commercially minded Board and Senior Management team that has delivered on its promises consistently Within our operation we have an ‘Achieving Excellence’ to grow and become an even over the last eight years. This proven track record programme for every member of staff, our Investor in demonstrates a sound foundation on which to build, a People accreditation has recently been reaffirmed and we more significant financial social foundation made all the stronger by our marvellous staff are a Living Wage accredited employer. enterprise and community bank. group, whose commitment is extraordinary. In systems and processes we are constantly refining This briefing summarises the achievements of Leeds the tools we have and seeking new ways of working. Credit Union. More importantly it indicates our In the current programme we have a range of exciting longer term strategy and vision to grow and become developments ranging from the mundane but important an even more significant financial social enterprise to the strategic. and community bank. We know we can do more to All this means I am confident that Leeds Credit Union deliver ethical, locally-rooted services to support our financial services for the benefit of our existing members members, in a way that only a credit union can deliver. and those who join in the future. Through growth we will also develop new employment opportunities across a range of skills. Looking to the future, challenges will remain in providing vital loans and savings services, in helping those who Chris Smyth, Chief Executive struggle to repay loans with budgeting support and repayment plans, in keeping pace with the march of technology, and matching the speed of the competition. It is only by meeting these challenges head on that our credit union and our members will continue to prosper.

Isobel Mills CBE, President Our impact over the last 10 years Key facts

£265m cash issued via our community 36k £16m £11m £20m 50 9 branches members deposits loans assets staff branches

£92m 110,000 Our worth of loans loans issued impact in issued Our values Our challenges the last • Affordable credit • Growth 10 years • Savings and thrift • Awareness alone • Care of members’ money • Old systems • Education • Pace of competition and speed of Every £1 spent • Alleviation of poverty digital media developments in banking on financial £47m inclusion work interest saved to is worth £9 the community* Our highlights Our products for the • Spectacular business turnaround Savings community** • Year on year growth • Instant Access Account • Doing what we say – track record of • High Balance Savings Account achievement • Young Savers Account • First class governance • Christmas Club Account • Exceeding regulatory ratios • Interactive website Successful integration of Wakefi eld • Transactions Credit Union • Pre-paid Visa Card *The saving that credit union borrowers make when compared to the higher • Winning new partners interest rate of a principal doorstep lender (some high-cost lenders’ interest • Budget Account rates are considerably higher) and assumes this saving has been achieved on 75% of the Credit Union’s lending. • Online banking **Research by Salford University for 2009. Loans • Personal Loans from £250 to £20k • Business Loans

Channels

Telephone Mobile Online Post Branch Our vision: to be the Our members best community credit union in the UK

What makes us different? Our aims by 2020 Leeds Credit Union • Mutuality • Reach a wider audience – to be the currently has over • Member owned institution of choice for 5% of the Leeds and Wakefi eld population 36,000 • Community focused • Increase dividend members • No shareholders with special privileges located throughout Scotland • Build on fi nancial soundness so we can • Educational aim invest in delivering better services the UK Our savings: • Increase choice in retail fi nancial services North East • Straightforward and fair Our Loans: • Affordable N. Ireland Yorkshire • We will never add to unmanageable debt Lancashire • No hidden charges

E. Anglia How we will get there Wales Midlands

London Fle m x r ib South East o i South West South tf li a ty l South West P a n d d n Developing the Core a C

a s LEEDS & s p e WAKEFIELD a c b Member satisfaction Members also say: Wakefield o i

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t Leeds Credit Union 72.6% P

Housing y 83.5% Solutions are likely/very likely to Developing Co-op Bank 69% Green Project Key recommend Leeds Credit Union Deal Innovation Partners Santander Bank 62% Schemes Centre

Employer 59% 61.4% Savings have already recommended the Barclays Bank 58% Harrogate Schemes credit union & Craven Social HSBC Bank 56% Business Return on Lending Investment Royal Bank of Scotland (RBS) 54% 81.9% Employment rated Leeds Credit Union service as good/very good P Overall industry average 65% ro es du rvic Leeds Credit Union results from Affinity Sutton Group survey of members summer 2016. cts and Se Bank results from Which? survey December 2016. Case studies Financials

What a difference Balancing the books Loans on the up a year makes 4000 1 1000 They focus on helping Income Expense 10500 This time last year Jane was feeling a bit sick. Fulfilling her 3500 their members save, 10000 daughter’s Christmas wish list seemed like a very expensive, “ borrow and receive 9500 impossible task. 3000 “The feeling of dread started creeping up on me in late affordable fi nancial 9000 September. During October I tried to squirrel away spare services instead of 2500 8500 £000s pennies but by November the fund was looking bleak and I maximising corporate £000s 8000 was feeling a bit like Tiny Tim. In the final hour I managed to 2000 7500 outsource the big requests to generous grandparents. Christmas profi t like 7000 was delivered on a shoe string. big banks. 1500 This year, things are looking up after I decided to join Leeds 6500 Credit Union and start a Christmas Saver account. I chose a ” 1000 6000 monthly amount which was taken directly from my wages 2011 2012 2013 2014 2015 2016 2011 2012 2013 2014 2015 2016 before it was swallowed up by bills, and this month I was able to access my Christmas nest egg. In the world of personal banking, Credit Unions are the good guys. They act like banks, offering the same services but the Loan book income continues to grow Strengthening the Credit Union big distinguishing factor is that they are non-profit institutions. 1600 2600 They focus on helping their members save, borrow and receive 2400 affordable financial services instead of maximising corporate 1400 profit like big banks. For me it was a great way to save. I like the 2200 fact that the Credit Union passes on savings from their non- 2000 1200 profit status to offer dividends on savings and lower fees. 1800 1600 This year my daughter and I are going to Paris for Christmas, 1000 what a difference a year makes!” 1400 1200 800 Reserves £000s 1000 Net loan income £000s Net loan income How saved the day 600 800 savings 600 Helen was recently granted a top-up loan with Leeds Credit 400 400 Union – and had forgotten that there was a savings element Helen also persuaded a 2011 2012 2013 2014 2015 2016 2011 2012 2013 2014 2015 2016 added to her monthly loan repayment. Leeds Credit Union friend not to use a high has a policy of encouraging members to save even if it’s only a “ small amount that the member can afford. interest lender and to Helen realised that she had some savings already for the first save with the time in her adult life she was delighted. Helen then increased Credit Union. her monthly repayment considerably so that at the end of her new loan repayment period she would have even more ” savings. As a result of Helen’s experience, loans have been granted to other members of her family, who also now save at the same time. Helen has also persuaded a friend not to use a well known high interest lender, and the friend began to save with the Credit Union for 3 months before applying for a loan. A brief history How you can help

August 1987 Originally operating from a broom cupboard in Leeds Civic Hall, the credit Leeds Credit Union is on a journey. If you would like to take part in making Leeds Credit Union an even more signifi cant fi nancial social enterprise and union began life as the Leeds City Council Employees Credit Union, offering community bank, offering a real alternative and additional choice on the high savings and loans to local authority staff. street, then here are some ways to be involved:

By investing – for philanthropists, partners and businesses 1997 2012 We become a community We take advantage of credit union, opening our new credit union powers By saving – by individuals doors to everyone living which allow us to have or working in the local multiple common bonds. authority area. We now 2015 We win the business of Following the merger with operate in 9 branches a number of corporate White Rose we extend our across Leeds, Wakefi eld, By encouraging others to save – by opening staff partners increasing our common bond into North Harrogate and Craven with savings schemes membership numbers. Yorkshire with Harrogate a number of additional and Craven. information points across the district. 2016 By partnering – in any way to use our services 2007 We refi ne our visual identity, Leeds City Credit Union shorten our name to Leeds wins the Social Enterprise Credit Union and upgrade our online presence and of the Year Award at the By infl uencing – Government and others annual awards event for back offi ce systems. Yorkshire and Humber. We launch an online system We gain Investor in People to support our free school accreditation and become savings club to raise the a living wage employer in importance of saving. We By volunteering 2016. 2014 now operate in 38 schools The fi rstYour Loan Shop across the district. opens in Leeds, giving us a high street presence to By spreading the word – via journalists, commentators, help combat high-interest Twitter and Facebook followers (fi nd us at @leedscredunion on Twitter lenders. and search Leeds Credit Union on Facebook) White Rose Credit Union merges with Leeds City Credit Union extending – to discuss any of these our common bond into By getting in touch today opportunities email us at [email protected] Wakefi eld and substantially increasing our membership. 2017 We celebrate our 30th year. Leeds Credit Union, Westminster Buildings, 31 New York Street, Leeds LS2 7DT Tel: 0113 242 3343 [email protected] www.leedscreditunion.co.uk

Putting people before profit

and are trading names of Leeds City Credit Union Ltd.

Leeds City Credit Union Ltd is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority – firm reference number 213369. This information may be checked by visiting www.fca.org.uk or www.bankofengland.co.uk/pra.