Credit Unions

Lord McFall of Alcluith Excerpts

Thursday 16th January 2014 Lords Chamber

[Lord Wallace of Saltaire]

My Lords, there is a lot of nudging going on but, as the noble Lord will know, there are employee-based contributions to credit unions and employer-provided contributions to credit unions. The Government are aware that it is not without cost to run an employer-based set of contributions, particularly, again, if you are trying to roll it out across the entire country, in which there are some 340 locally based credit unions.

[Lord McFall of Alcluith (Lab)]

My Lords, it seems that there is a need for more diversity in financial services. Would it not be a good example if the House were to send out a message that we are leading the way on this? The common bond is government employees, so that should be easy. In terms of pursuing this enthusiastically, could the Minister ensure that a cost-benefit analysis is undertaken and that it is placed in the Library, so that Members can see it and can have a part in ensuring that we push for a credit union and be an example to the rest of the country?

[Lord Wallace of Saltaire]

My Lords, I will take that back and see what we can do about a cost-benefit analysis. I should mention that, apart from the Houses of Parliament, the other department of government that already has an employer-based credit union arrangement in place is the National Offender Management Service. Members will consider whether they think that is a good parallel to our work or not.