Humber credit unions to merge to create 13,000-strong organisation
TWO Humber credit unions are to merge to create an organisation with more than 13,000 members in East Yorkshire.
Members of North Lincolnshire Credit Union (NLCU) have voted to join its much bigger neighbour, Hull and East Yorkshire Credit Union, in a move that is designed to enable the credit union movement to thrive in North Lincolnshire.
David Martin, chairman of North Lincolnshire Credit Union, said: “Since our formation we have worked hard to help over 1,000 families in North Lincolnshire to manage their money wisely, access low-cost credit and find a safe, handy home for their savings.
“Although we are very forward thinking and our finances are sound, it is difficult for small credit unions to develop and market the range of services that we know our members want at an affordable cost. We therefore believe this merger with a reputable larger credit union is in the best interests of our members – present and future.
“HEYCU, our northern neighbours, are a soundly-financed and well run credit union with a proud reputation in the Credit Union Movement. They share our ethical values and I know they will look after our members well and take care of the assets that we have built up over the years.”
Both organisations were set up 15 years ago, but while NLCU has 1,300 members centred around its Scunthorpe base, HEYCU has 11,000 adult members and a further 1,000 junior members with eight branches and total savings of £7.5m.
“Now that NLCU members have voted for the merger, we warmly welcome them into the HEYCU family,” said John Smith, chief executive of HEYCU. “It’s an exciting time for the Credit Union Movement, as we are to benefit from a £35m Credit Union Transformation Programme.”
The NLCU branch in Scunthorpe High Street will continue to trade as “Northern Lincolnshire Credit Union” but will be rebranded with the HEYCU logo and colour scheme.
The decision must now be approved by the Prudential Regulation Authority and the Financial Conduct Authority with a decision expected in the next few weeks.
