Financial Inclusion Forum’s Post

The latest Responsible Finance impact report reveals that in 2023, CDFIs lent a record £287 million, demonstrating how we and our fellow CDFIs effectively bridge the gaps in finance. CDFIs now operate at 31 times the scale they did in 2003 and their achievements reflect their ability to fill widening needs for the right finance at the right time. Read the latest impact report at https://lnkd.in/eWSFydQ2 Rosie Ginday MBE, Peter Udale, Theodora Hadjimichael, Stephen Deakin. #RipplesToWaves #CDFIs #ResponsibleFinance

This year’s Impact Report from Responsible Finance shows how Community Development Finance Institutions (CDFIs) turned ripples of finance into waves of change for individuals, businesses and social enterprises across the UK.  They provided opportunity and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time.  Here’s what CDFIs achieved in 2023:  - Supported 4,546 start-ups and SMEs with £102m of loans.  - 12,135 jobs were created or safeguarded.  - 99% of businesses had been declined by another lender.  - 371 social enterprises were supported with £119m of loans.   - Households saved £29m in interest repayments compared to high-cost lenders.   - CDFIs lent £66m to 85,208 individuals.  - CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. Read more about CDFIs’ impact, plus lots of customer stories in:  https://lnkd.in/eHyZWuia #RipplesToWaves #ResponsibleFinance #CDFIs 

🎉 Celebrating the launch of the annual impact report by Responsible Finance, it shines a spotlight on the transformative work of Community Development Financial Institutions (CDFIs) in the UK economy. CDFIs are the unsung heroes of our economy, providing a lifeline to underserved businesses and households. In 2023, they invested a record amount, driving economic growth, creating or safeguarding jobs, and adding billions to the UK economy 🚀 🚀 🚀 Operating predominantly outside of London and the South East, CDFIs are pivotal in addressing regional economic disparities and fostering development in deprived areas. They are deeply rooted in local communities, unlocking the potential of thousands of small businesses unable to access mainstream finance. CDFIs champion diversity, lending disproportionately more to businesses led by women and ethnic minority entrepreneurs. As we celebrate this milestone, we should acknowledge the significant social and economic impact created by CDFIs. Here’s to another year of continued success across the sector in driving inclusive growth and supporting the underrepresented in our society. We look forward to continuing to work closely with the sector to help support their growth ambitions. Tom Le Quesne Jonas Persson Andrew Walton Mark Burton Beth Knight Jo Clough Glenn Bemment Lyndsey Fairnie Emily Booth Sam Shah Natalie Boswell Rebekah Taitt Carla Yearsley Jamie Broderick Peter Udale 🙌 #CDFIs #InclusiveFinance #ResponsibleFinance #sustainablefinance #sustainabledevelopment #regionaldevelopment #lloydsbank #helpingbritainprosper

We're delighted to share the latest impact report - with a record year of lending it is a testament to the hard work our member Community Development Finance Institutions (CDFIs) deliver every day. In 2023 they have turned ripples of finance into waves of change for individuals, businesses and social enterprises across the UK. Our members have provided opportunity, supported economic growth and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time. Here’s what CDFIs achieved in 2023: 🌊 Supported 4,546 start-ups and SMEs with £102m of loans. ⭐ 12,135 jobs were created or safeguarded. 👉 99% of businesses had been declined by another lender. 🙌 371 social enterprises were supported with £119m of loans. 💷 Households saved £29m in interest repayments compared to high-cost lenders. 😍 CDFIs lent £66m to 85,208 individuals. 🪙CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. 👉 Read more about CDFIs’ impact, plus lots of customer stories in: https://lnkd.in/eWSFydQ2 #RipplesToWaves #ResponsibleFinance #CDFIs

If I didn't understand the impact CDFI's have on our economy and communities, I do now. Brilliant report launch by Responsible Finance and NatWest Group earlier today. Key takeaways for me: 1. Last year, CDFIs lent £287 million to customers - a 14% increase from the previous year. These loans supported more than 12,000 jobs and created 3,900 new businesses. 2. SMEs are the backbone of any thriving economy. When we nurture SMEs, we fuel innovation, job creation, and economic stability. As Bim Afolami MP said in his speech today: "If you don't grow your SMEs, you don't grow your economy." 3. CDFIs champion diversity. In the UK only 8% is invested in businesses with an ethnic minority founder and female founded businesses account for only 2% compared to 66% through CDFIs. 4. CDFIs allocate 90% of their resources outside London. Their impact extends far beyond financial metrics; they empower communities, create jobs, and drive economic prosperity and by supporting CDFIs, we invest in a more inclusive and resilient economy. Great event. Looking forward to attending next year. #CDFIs #SMEs #Equality #EconomicEmpowerment #CommunityImpact

This year’s Impact Report from @Responsible Finance shows how Community Development Finance Institutions (CDFIs) turned ripples of finance into waves of change for individuals, businesses and social enterprises across the UK. They provided opportunity and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time. Here’s what CDFIs achieved in 2023: ·       Supported 4,546 start-ups and SMEs with £102m of loans. ·       12,135 jobs were created or safeguarded. ·       99% of businesses had been declined by another lender. ·       371 social enterprises were supported with £119m of loans. ·       Households saved £29m in interest repayments compared to high-cost lenders. ·       CDFIs lent £66m to 85,208 individuals. ·       CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. Read more about CDFIs’ impact, plus lots of customer stories in: https://lnkd.in/eWSFydQ2 #RipplesToWaves #ResponsibleFinance #CDFIs

This year’s Impact Report from Responsible Finance shows how Community Development Finance Institutions (CDFIs) turned ripples of finance into waves of change for individuals, businesses and social enterprises across the UK. 👏 They provided opportunity and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time.  Here’s what CDFIs achieved in 2023: ❖ Supported 4,546 start-ups and SMEs with £102m of loans.  ❖ 12,135 jobs were created or safeguarded.  ❖ 99% of businesses had been declined by another lender.  ❖ 371 social enterprises were supported with £119m of loans.   ❖ Households saved £29m in interest repayments compared to high-cost lenders.   ❖ CDFIs lent £66m to 85,208 individuals.  ❖ CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. Read more about CDFIs’ impact, plus lots of customer stories in: https://lnkd.in/eWSFydQ2 #RipplesToWaves #ResponsibleFinance #CDFIs 

Community Development Finance Institutions (CDFIs) turned ripples of finance into waves of change for individuals, businesses and social enterprises across the UK. They provided opportunity and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time. Here’s what CDFIs achieved in 2023: - Supported 4,546 start-ups and SMEs with £102m of loans. - 12,135 jobs were created or safeguarded. - 99% of businesses had been declined by another lender. - 371 social enterprises were supported with £119m of loans. - Households saved £29m in interest repayments compared to high-cost lenders. - CDFIs lent £66m to 85,208 individuals. - CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. Read more about CDFIs’ impact, plus lots of customer stories in: https://lnkd.in/eWSFydQ2 Responsible Finance #RipplesToWaves #ResponsibleFinance #CDFIs

Welcome to all our new followers 👋 (if you're not following us yet then now's the time to do it) 😁 We're recapping some of the facts and figures about Community Development Finance Institutions (CDFIs) that we shared in our Impact Report in May 2024. CDFIs provided opportunity and built resilience for disadvantaged communities and those excluded from mainstream finance. In 2023 their lending hit a record high of £287 million: CDFIs now operate at 31 times the scale they did in 2003, when the sector lent £9.2 million. Their achievements reflect their ability to fill widening needs for the right finance at the right time. Here’s what CDFIs achieved in 2023: · Supported 4,546 start-ups and SMEs with £102m of loans. · 12,135 jobs were created or safeguarded. · 99% of businesses had been declined by another lender. · 371 social enterprises were supported with £119m of loans. · Households saved £29m in interest repayments compared to high-cost lenders. · CDFIs lent £66m to 85,208 individuals. · CDFIs identified a total of £601m of unclaimed benefits for 143,050 customers. Read more about CDFIs’ impact, plus lots of customer stories in: https://lnkd.in/eWQ9S-F6 #RipplesToWaves #ResponsibleFinance #CDFIs

Social impact finance vs impact washing Very interesting. This is an example of true social impact finance. In this case, first loss finance is provided in the form of grants to CDFIs. It is very different to other forms of 'catalytic' or 'blended' finance where the state or other agencies 'de-risk' private finance expecting to make a market return. For example, the National Wealth Fund (NWF) is making available up to £750m in financial guarantees to de-risk £1 billion of 'competitively priced' loans to be provided by Barclays and Lloyds to housing associations to retrofit social housing. https://lnkd.in/e-vk7Gzi The state could provide lower cost financing to these housing associations. The decision to use a state agency to de-risk more costly private finance just doesn't make sense. Similarly, if banks lend to CDFIs (or other social assets) and expect to make a market return, then that is just treating those loans as any other asset from which to extract commercial returns. That is not social impact finance. And if private finance is able to brand this as social impact finance to receive a reputational boost then this is impact washing. #impactwashing #sustainablefinance #impactfinance #socialimpactfinance