Bank of Dave to go national
DAVE Fishwick, the entrepreneur who has taken on the banking sector and shot to fame in the Bank of Dave TV series, plans to roll out his community banking concept across the UK.
Mr Fishwick runs Burnley Savings and Loans (BSL), offering a 5% return to depositors and lending to small businesses in the town that have struggled to obtain credit from the High Street banks. He is still seeking regulatory approval from the Financial Conduct Authority.
BSL only lends what it has on deposit and all savings are guaranteed by Mr Fishwick. It is a traditional approach and this is how many people understand the banking industry works. However, the 2008 crisis highlighted how banks create money by lending and hold just a fraction of the value of loans in capital.
Speaking at a business finance event at MOSI hosted by JMW Solicitors and accountants Mazars yesterday, he said he was determined to expand in partnership with other like-minded individuals, and has also looked at an alternative to pay day lending.
He said: “We’re ferociously protective over someone starting what we’ve got without the right morals and ethics. There are 1,000 large towns and cities in the UK. If you have a community bank run by the community to benefit the community in each one of these towns, lending to 1,000 businesses like we are, that would be 1,000 times 1,000 and the country would be fixed.
“But we don’t want people with the wrong morals running these banks. We will make sure it’s 100% safe and secure and then we’ll look to open in other areas… when we get a full blown licence we will then look to expand it across the country.”
Mr Fishwick, who also runs a Colne-based minibus dealership, added: “I really, truly believe the only way forward is to open more branches and maybe give Barclays a run for their money.”
On payday lending he said: “There’s a need for short term lending but not at 5,500%. We’ve looked at an alternative and had a go at it.” The details will be revealed in a new TV series.
Chris Moss, head of corporate finance at JMW who was also on the panel and who advises Dave Fishwick, said: “I can see this growing and becoming a national movement. I think it can become really huge.”
Jonathan McMahon of Mazars said: “It’s tapped into a grass roots energy to challenge the way finance is done and it puts human beings back into the relationship.”
