Tag Archives: Banking

News

Unity Trust Bank marks 40 years of impact with increase in lending to areas of high deprivation

Unity Trust Bank, which supports organisations that create positive social impact across the UK, has reported that more than half of its lending went to customers delivering services in areas of high deprivation in 2024.

In its annual results, Unity’s overall lending remained at over £1 billion with 50.5% (2023: 45.3%) committed to where it is needed most.

Customer balances rose to a record £1.7 billion (up 10% from 2023) as more socially-minded organisations chose to place their deposits with Unity, so they could be used to improve the quality of life in local communities.

Unity strengthened its digital offering and customer-facing services with an 82% increase in investment in its UK-based contact centre, nationwide network of relationship managers and supporting customers with sector specialisms for trade unions, charities and local councils.

Pre-tax profit increased to £65.8 million (2023: £63.9m), resulting in a strong CET1 capital ratio of 24.1% (2023: 19.7%).

Colin Fyfe, CEO at Unity Trust Bank, said: “As an ethical bank, we are committed to a ‘double bottom line’ of delivering positive social impact and commercial success.

“In 2024 we achieved a record year of funding, helping to support the vital work of organisations that share our values and those key sectors making a real difference to people.

“As part of our customer-driven culture, we continue to listen to our customers, understand their needs, and further improve their experience with us.”

By choosing Unity, whose mission is to create a better society, customers enable the bank to provide loans to organisations that address social, economic or environmental needs.

Each of Unity’s lending decisions is measured against the United Nations’ Sustainable Development Goals (SDGs) to ensure it is delivering impact.

In 2024, outcomes included creating or protecting 3,194 jobs and supporting 1,798 care beds; 1,806 day care spaces; 216 education spaces; and 1,109 affordable homes.

Aligned to its double bottom line, Unity set its net zero target for 2045 as part of its ‘Banking on Sustainability’ approach to supporting customers and communities to thrive in a low carbon economy.

After launching its Retrofit Transition Initiative (RTI) in 2023, which ringfenced finance for housing association customers to decarbonise their properties, Unity doubled its lending commitment to £50 million last year. RTI supported 931 homes in decarbonisation work through retrofitting activities.

Of the total £137 million lending committed in 2024, 33% went to organisations specifically supporting disadvantaged or marginalised groups as classified through the ‘ABCs of Enterprise Impact’.

Unity received the prestigious King’s Award for Enterprise for Sustainable Development in recognition of its work supporting socially-minded customers and its own commitment to responsible business practices. It was also named in The Sunday Times’ Best Places to Work.

Unity made three appointments to its Executive Committee, promoting Penny Hogan to Chief Financial Officer and Joshua Meek to Chief Impact Officer and recruiting Niki Barker as the bank’s first Chief People Officer.

As part of Unity’s 40th birthday year, the bank exceeded its pledge to make £40,000 in charitable donations by awarding over £50,500 to good causes across the UK.

It launched the inaugural Unity Impact Grant programme, designed to support community-enhancing projects. In December, six successful recipients were awarded £5,000 each; including a ‘staff choice’ grant from Unity’s voluntary salary contribution for organisations delivering impact.

The initiative is part of the bank’s employee-led ‘Unity & Me’ programme, which was established to empower staff to deliver positive outcomes for employees, communities and the planet.

Colin added: “As we reflect on another year of success, we’re proud to continue our 40-year heritage of delivering social good for communities and individuals most in need.

“The commitment to our founding mission is just as strong today and we look forward to driving forward future growth and positive impact through socially-responsible banking.”

For more information, visit www.unity.co.uk.

Image Source: Unsplash

Accountancy & Accounts, FInance, Finance and Banking, Wales

ACCA Cymru/Wales on the draft Welsh budget

Lloyd Powell, head of ACCA Cymru/Wales, in response to the draft Welsh budget said:

“Following on from the extra spending on public services announced in the UK Budget in October, the draft Welsh Budget saw additional £1.5 billion of spending announced on public services, including the NHS and local authorities. Spending announcements in the draft Budget were firmly in line with the four priorities outlined by the First Minister earlier this year.

 

NHS

 

“Recognising the significant challenges the NHS in Wales faces, with an ageing population, increasing demand, persistent health inequalities and skills shortages, the 2025/26 draft Welsh Government budget saw a further £600 million allocated to Health and Social Care in Wales – amounting to over 50% of the total Government Budget. This needs to be accompanied by service reform and productivity gains. WG needs to redouble its efforts to address the fundamental challenges as outlined in ‘A Healthier Wales’ in 2022, including reducing waiting times, increased use of technology and investing in the workforce for the future.

 

Business support/skills

 

“Businesses in Wales continue to face challenges in 2025 and into 2026 which have adversely affected business confidence. These include higher employer National Insurance contributions and other rising costs such as the National Minimum Wage.

 

“The commitment to continue to support skills provision is welcome. The importance of supporting people into high-quality jobs, which are designed to drive economic growth and tackle poverty cannot be overstated. The additional investment of £6.5m resource funding to support the Flexible Skills programme, particularly in those sectors associated with decarbonisation, is a positive announcement.

 

“The announcement to extend non-domestic rates relief for businesses in the retail, leisure and hospitality sectors at the current 40% will help Welsh businesses in these sectors, although there will be concern at what support will be available beyond 2025/26.

 

“The announcement on accelerating planning decisions to grow the Welsh economy will be welcomed by many Welsh businesses looking to expand, as will announcements to improve the transport system in Wales. Businesses will hope that improvements in these areas will be delivered at pace to support the growth of the economy across all of Wales. .

 

Climate Change

 

“The additional funding to support climate change is welcomed as Wales continues to transition to low carbon industries and developing renewable sources of energy which also provide high skill jobs for Wales.

 

General

 

“The draft Budget only outlines spending plans for one year. Multi-year settlements for resource and capital at the conclusion of the UK Spending Review in 2025 will provide much needed certainty for the Welsh Government and its partners.

 

“The draft Budget needs the support of at least one opposition party, and it will be interesting to see how the discussion and debate on the draft budget develops in the new year prior to the Budget’s final approval in February 2025.

 

“Welsh Government needs to work with all partners, including businesses and the UK Government, to ensure the successful delivery of programmes of work that benefit the Welsh economy and society.”

Appointments

Promotions and appointments as firm celebrates successful year

Tax and accountancy specialist Kilsby Williams has promoted two members of staff and appointed nine new employees to its business services and tax teams as the firm rounds off a successful 2024.

Abi Cornford and Phoebe Hughes, who specialise in audit services for private businesses, SMEs and UK subsidiaries of overseas groups, have been promoted to become managers.

Joining Abi and Phoebe in the business services team, which encompasses audit, accountancy and payroll services, are manager Ben Hinton, senior Tomos Hill, assistant Oliver Sims and trainees Tiffany Harris, Amelia Johnston, Hollie Tapper and Dylan Thomas.

The tax team has also been strengthened with James Davies, a chartered tax advisor whose expertise lies in compliance and advisory work for corporate and personal tax, joining the firm as a manager and Lewis Sincock joining as a trainee.

The latest series of promotions and appointments follow a successful year for Kilsby Williams which has seen the firm secure work with major clients and achieve a 20% growth in fee income.

Jonathan Harrhy, partner at Kilsby Williams, said: “As we come to the end of another fantastic year for the firm, we are delighted to share the news of Abi and Phoebe’s promotions and the latest additions to our team.

“This series of appointments cements our position as one of the largest independent firms in the region and an attractive place to work for emerging and experienced accountancy and tax talent.

“This round of recruitment will help us prepare for further growth in 2025. By strengthening our capable team, we are investing in our future to enable us to meet demand as more and more businesses want to benefit from our services.”

Established in 1991, Kilsby Williams works with clients locally in south Wales, extending across the UK and globally. Their clients range from sole traders to international quoted groups.

Accountancy & Accounts, FInance, Finance and Banking

Labour’s industrial strategy needs the accountancy profession at its heart

ACCA says the government’s growth agenda will only succeed if it forms meaningful partnership with the accountancy sector.

 

The government needs to work closely with the accountancy sector if it is to make a success of its number one mission – a growing economy.

 

Accountancy is an undoubted success story for the UK economy. The sector contributed £98bn to the UK and Irish economies in 2022, exported £4bn of services in the same year and has a trade surplus of £4.9bn.

 

Responding to Invest 2035: the UK’s modern industrial strategy – the strategy which Chancellor Rachel Reeves says is central to its growth mission – leading global accountancy body ACCA (the Association of Chartered Certified Accountants) says that the work of the accountancy profession underpins the success of all the eight growth-driven sectors identified by the new Labour administration.

 

Glenn Collins, Head of Policy, Technical and Strategic Engagement ACCA, said: “The UK government’s ambitious strategy for growth needs to be supported by detailed plans to ensure that the aspiration has a chance to be realised. ACCA has a track record of working with Government to support detailed policy implementation which will enhance growth. We look forward to working in partnership with government to make it happen.”

 

In its response ACCA says that the government refreshing its understanding of the accountancy sector would help directly to deliver the government’s desired target of net zero, regional growth, and economic security and resilience.

 

ACCA points out how accountants are crucial in offering UK businesses – including the vital SME and entrepreneurial sectors – strategic business advice and unlocking investment opportunities.

 

Jessica Bingham, Regional Policy Lead for ACCA, said: “ACCA UK is pleased to see that professional and business services – of which accountancy is a significant part – is one of the eight growth-driving sectors identified by the government’s industrial strategy.

 

“ACCA has members working in and helping businesses every day across every region of the UK, grappling with the problems that this industrial strategy identifies – skills and jobs, investment and technology adoption. Our members are keen to share their knowledge and insights to make growth a reality.”

 

Read the ACCA’s response here.

Accountancy & Accounts, Economy & Jobs News, FInance, Finance and Banking

ACCA Cymru/Wales on the Autumn Budget

Lloyd Powell, head of ACCA Cymru/Wales, said:

 

“The focus on investment, economic stability, boosting growth and supporting public services are welcomed – with £1.7bn of additional funding for Wales though the Barnett Formula, and the announcement on support for coal tips and a green hydrogen project in Bridgend.

 

“However, although partially offset by changes to allowances, the impact of the £40bn of increased taxes announced – including on Employer National Insurance contributions and thresholds and Capital Gains Tax – will be felt by many businesses across Wales. Business confidence, critical to encourage investment and stimulate growth, has been in short supply in recent months. Following these announcements, it’ll be more important than ever for these businesses to seek the advice of their accountants; to ensure they comply with changes, as well as refocusing business growth plans.

 

“Workers across Wales will welcome the decision not to increase Fuel Duty and to unfreeze Income Tax and NI thresholds from 2028/29.

 

“With a wide range of tax changes announced, the Chancellor should have gone further on simplifying the tax system, with the changes announced arguably adding to existing complexity.”

FInance, Finance and Banking, Pensions

UK Budget and US election hot topics at pension seminar

The impact of the upcoming UK Budget and US election on pensions and investment markets was a key focal point at Quantum Advisory’s latest event.

Finance, HR and pension professionals came together on 22 October to hear exclusive industry insights and market updates at the firm’s pension and investment breakfast seminar at the Celtic Manor Twenty Ten Clubhouse.

Dan Redwood, a senior investment consultant and actuary at Quantum Advisory, opened the event with an overview of macroeconomics, gilts and equity markets in Q3 and considerations for investors amid the changeable global political landscape. Dan identified four short to medium term risks for markets including political risk, a hard landing following growth, equity markets and the potential for global conflicts to escalate.

Dan said: “Elections and the direction of government policy could disrupt markets. Ahead of the Budget, the chancellor has said that growth is the challenge and investment is the solution. The chancellor has three levers to try and achieve this while balancing the books: through tax rises, more borrowing and spending cuts, all of which seem likely. Fiscal rules may have to be changed to accomplish this goal and the country’s fiscal position is likely to get worse before it gets better.

“Meanwhile, the outcome of the US election will define its economic agenda. Trump’s plans include tariffs on imports, tax cuts and spending on immigration control, while Harris’ proposals feature increased spending on healthcare, childcare and housing in addition to tax increases focused on the wealthy. The plans of both candidates are set to increase the national ten-year debt and their ability to enact policy will depend on the balance of power in the Senate and Congress.”

James Bird, a consultant at Quantum Advisory, also touched upon the pension measures speculated to appear in the Budget such as tax relief, a reduction in the amount that can be taken as a tax-free lump sum, the introduction of national insurance on employer contributions to workplace pensions and the introduction of tax on some death benefits.

James said: “The government is continuing to explore reforms to help workplace pension schemes take advantage of consolidation and scale to give better value for members and boost growth, but there could be painful rises in taxes in the Budget next week to help fund the reported ‘black hole’ in the UK’s finances.

“In addition to exploring new options such as collective defined contribution schemes which have recently been introduced in the UK and reviewing pension outcomes, another exciting development in the pensions landscape is the new defined benefit funding code of practice. Fast track and bespoke approaches to scheme journey plans and strategies are valid in the new code as long as they can be justified to the Pension’s Regulator.”

Joining the two speakers from Quantum Advisory was Lawrence Davies, the Wales partnership manager at the Money and Pensions Service (MaPS), who provided an update on how MaPS can support employers.

As an arm’s-length-body, sponsored by the Department for Work and Pensions, MaPS’ vision is “everyone making the most of their money and pensions”.

Alongside its core five functions – pensions guidance, money guidance, debt advice commissioning, consumer protection and strategy – MaPS also coordinates the UK Strategy for Financial Wellbeing, working with partners and stakeholders to help everyone find a way forward and build a better financial future.

For further information and to keep up to date with Quantum’s latest events, visit https://quantumadvisory.co.uk/.

Business, Business Finance, FInance, Finance and Banking

UK drops out of Global Pension Index top 10

The UK has dropped out of the top 10 of the Mercer CFA Institute’s Global Pension Index.

The index compares 48 retirement income systems around the world using more than 50 indicators, with a particular focus on adequacy, integrity and sustainability.

The research’s primary aim is to benchmark each retirement income system, but it also highlights areas of reform which could provide greater trust in the pension system of each country as well as increased sustainability and improved benefits.

The UK’s pension system has been ranked as the 11th best system in the world with a value of 71.6, dropping one place since 2023 and out of the top 10. The Netherlands, Iceland and Denmark retained their top three spots for another year.

The index reports that the value for the UK system could be increased by further increasing the coverage of employees and self-employed in private pension schemes, restoring the requirement to take part of the benefit as an income stream (ie not allowing individuals to take all of their retirement savings as a lump sum) and increasing the scope and contribution levels required under auto-enrolment.

Stuart Price, Partner and Actuary at Quantum Advisory, said: “It is disappointing to see the UK’s pension system slip out of the top 10 of the Global Pension Index this year. Its ranking places it as a ‘B’ grade system within the index, suggesting that the system has a sound structure and many good features but that there are clear areas for improvement and reform.

“The state pension only provides 22% of an individual’s average earnings, so private pension saving, whether in defined benefit, defined contribution or collective defined contribution schemes, is crucial to allow people to retire with a decent level of income and at a reasonable age.

“All employers must provide a workplace pension scheme or arrangement and automatically enrol employees into it. Auto-enrolment has worked to a degree but would benefit from further reform which could improve the UK’s index ranking. The number of individuals saving for their retirement has increased substantially since auto-enrolment was introduced in 2012, with 76% of the working population contributing to their pension schemes.

“However, auto-enrolment could be extended to include younger workers from age 18, lower earners and the self-employed, in addition to increasing the total contribution rates from 8% to at least 12%. Following a review in 2017 which received royal assent in September 2023, plans are in place to lower the age of eligibility for auto-enrolment but frustratingly no date has been set to introduce this legislation.”

Accountancy & Accounts, Economy & Jobs News

Finance teams – evolve now or become irrelevant

A comprehensive new report reveals that finance teams worldwide are at a critical juncture, with just five years to adapt to rapidly changing demands—or face the risk of becoming obsolete.

Finance teams have just five years to transform or risk becoming irrelevant, according to a new report by ACCA (the Association of Chartered Certified Accountants) and Chartered Accountants ANZ in association with PwC. The report, Finance evolution: Thriving in the next decade, stresses the vital role finance teams play in building sustainable businesses and urges CFOs and finance leaders to take immediate action.

Drawing on insights from over 150 finance professionals and 2,300 survey responses, the report shows that businesses now demand a broader skill set from their finance teams, as retrospective reporting and traditional approaches to planning and forecasting alone no longer meet key decision-makers’ needs. Being pre-emptive is the order of the day.

The report highlights some ongoing concerns raised by survey respondents:

  • A lack of clarity on how finance can add value to the business (38%)
  • Finance being seen mainly as a cost centre (32%)
  • Current technology not meeting the needs of the organisation (30%)

Finance teams must embrace technologies like artificial intelligence, machine learning and data analytics, to enhance decision-making and operational efficiency. These technologies help finance teams reduce manual tasks, boost efficiency, and be recognised as key drivers of growth rather than merely number crunchers. The role of finance has also expanded to include leadership on long-term value creation including sustainability issues.

However, the report also emphasises that as finance teams undergo this transformation, the importance of ethics must remain at the forefront. With the increasing reliance on technology and data, maintaining a strong ethical foundation is crucial to building and sustaining trust.

Helen Brand OBE, Chief Executive of ACCA, said: “For finance teams to stay relevant, they need to look ahead. CFOs and finance leaders must ensure they are measuring both the long-term and short-term goals of sustainable business models effectively. The role of the CFO is fast evolving beyond finance to encompass wider value creation and management.”

Ainslie van Onselen, Chief Executive Officer of Chartered Accountants ANZ, stated: “While the arrival of new technology presents exciting opportunities to radically transform and improve the way we work, the one thing that must never change is our profession’s strong ethical standing.  While we upskill and future proof our technology capabilities, we must also remain firmly focused on the ethical role that financial professionals – especially Chartered Accountants – must play.”

Moreover, the report highlights significant skill deficits in the areas of digital, data, and sustainability. Addressing these gaps is essential for finance teams to lead effectively in the next decade.

Simon Seymour, Partner at PwC, noted: “Respondents highlighted their biggest skills gaps as digital skills, data skills and sustainability skills.  A critical question for the industry, as a whole, is why these skills gaps remain so pronounced and how far organisations should go to own the skills agenda, and not just rely on traditional training.”

The report is a clear call for action: finance teams must embrace new technologies, develop critical skills in digital, data, and sustainability, and uphold the highest ethical standards to ensure they remain integral to their organisations’ success in the years to come.

Read the report online.

News

London insurance market to benefit from Expleo-ACORD partnership

Expleo, is to provide testing assurance expertise to organisations preparing for Lloyd’s Blueprint Two London market modernisation, through a new partnership with ACORD Solutions Group.

As a member of ACORD’s Licensed Integrator Partner (LIP) programme Expleo will offer strategic assistance to the organisation’s global community in preparation for Blueprint Two – the modernisation programme set to make the London market better, faster and cheaper.

The engineering, technology and consulting services provider brings more than 50 years of experience in quality assurance to its work on this programme and will support dozens of London market participants as they prepare for market-wide modernisation.

Stephen Magennis, Global Head of BFSI, Expleo, said: “Blueprint Two is an ambitious change programme that will revolutionize the sector by harnessing technology to the benefit of more than 400 market participants, helping them face new risks with confidence.

“By joining ACORD Solutions Group’s LIP programme, Expleo is now well positioned at the heart of the London market to support the insurance eco-system with independent testing and assurance on a range of programmes including Blueprint Two.”

Expleo will now work with the LIP community in anticipation of the cutover to Blueprint Two, which is expected in October this year. This will be achieved by leveraging its test assurance capability to assist the community with the adoption of key enablers for Blueprint Two compatibility, including ACORD Global Reinsurance & Large Commercial Data Standards and workflow.

Expleo will also support global organisations in their implementation of a messaging gateway through ADEPT (ACORD Data Exchange Platform and Translator), ACORD Solutions Group’s platform for real-time data exchange, translation, and transformation.

Chris Newman, EVP and Global Managing Director, ACORD Solutions Group, said: “The Licensed Integrator Partner community strengthens the interoperability of the insurance ecosystem through standardised digital data exchange. We are glad to welcome Expleo to the programme as the industry embraces greater connectivity through its digitalisation efforts.”

Business & Property News, Finance and Banking, News

Tyl by NatWest announces new payments partnership with FSB

NatWest Group has today announced a new partnership with the Federation of Small Businesses (FSB). This official payments partnership, builds on the support the NatWest Group has given to FSB over the years as the UK’s biggest bank for businesses.*

In 2020, NatWest Group established the SME Taskforce with FSB to help SMEs to respond to and navigate the aftermath of the COVID-19 pandemic, working together with stakeholders from across the small business landscape, the two organisations worked closely together to support customers.

Just last year NatWest announced a £1million partnership with FSB to provide NatWest business customers with access to independent support and education to help with the cost-of-living crisis via webinars, and 1-2-1 phone support and webchat.

FSB members will see cost savings and other benefits by signing up with Tyl, subject to eligibility criteria as part of the partnership. Insight from Tyl by NatWest found that 8 out of 10 businesses could save on fees when switching from an existing card payment provider to Tyl by NatWest.†

For the smallest businesses, Tyl offers a simple fee structure based on one low rate for personal card transactions (where the card is issued in the UK or Europe) and one for all other transactions. For bigger businesses, Tyl has a range of different fees to fit the needs of the business.

In addition to the possible business savings, Tyl by NatWest could help FSB members with the day to day running of their business through features including:

  • Choice of card machines or a phone app for in-person sales
  • Take payments online or over the phone
  • Payment links and QR codes to send out so you get paid quickly
  • Simple bills and next business day settlement
  • Tyl Portal for access to constantly updated sales data
  • 7 day a week UK-based service and support line
  • Tyl is part of NatWest which brings trust, security and experience to ensure safe payments

Available now, FSB members could be up and running with Tyl in just 48 hours.

James Holian, Head of Business Banking at NatWest comments:

“FSB and NatWest share an ambition to provide strong support for the growth of entrepreneurship and small businesses in the UK, and we are excited and proud to partner with FSB in payments services for its members.”

Mike Elliff, CEO, Tyl by NatWest said:

“Small businesses are critical for our economy and our communities. At a time where the cost of trading is rising for small business owners, Tyl by NatWest is delighted to be able to partner with FSB to provide its members with a full range of cost-effective and reliable payment solutions, backed by great service.” 

Caroline Lavelle, Chief Commercial Officer, FSB, said:

“I’m delighted to form this partnership with Tyl by NatWest. We have a long-standing history of working with NatWest on various business initiatives and look forward to this next step in our relationship.

“As many of our members, and the wider UK small business community, continue to navigate the increasing cost of trading, an opportunity to make savings on payments, which is core to every business, will be well-received.”