Financial Inclusion
Overview
Financial exclusion is a real challenge in rural areas:
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Over 200,000 people living in rural communities have no access to a bank account of any kind
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250,000 people have no local access to either a post office, bank or building society or cash machine
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Demand for affordable credit and debt advice is outstripping supply
Despite these significant challenges, financially excluded people living in rural areas are less visible and more difficult to reach than those in urban areas.
‘Rural Money Matters: A Support Guide to Rural Financial Inclusion’, our new joint report with DWP’s Now Let’s Talk Money initiative, is designed to help local authorities and their local strategic partnership members understand, identify and tackle financial exclusion in rural areas.
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provides a comprehensive overview describing the challenges and opportunities rural financial inclusion presents
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identifies financial exclusion ‘hot spots’ and clearly presents the scale and depth of the challenge
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demonstrates ways to promote financial inclusion in through case studies highlighting good practice
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helps policy makers and programmers 'rural proof' their work on financial inclusion by considering and addressing rural circumstances
Download 'Rural Money Matters: A Support Guide to Rural Financial Inclusion’
Our earlier report Promoting Financial Inclusion in Rural Areas provides an overview analysis of rurally distinctive features of financial exclusion, and successful elements of schemes which deliberately target financial exclusion in rural areas.
Download the Full report or the Summary report
Promoting Financial Inclusion in Rural Areas includes a series of Good Practice case studies:
Tackley village shop and post office
Initiated by a group of residents, Tackley’s community owned shop offers locals a full range of financial services; as well as a coffee shop and playground facilities. The highly valued post office and shop have successfully revived a sense of local well-being in this rural community.
NatWest’s mobile bank
With a personal service and a flexible route, Cornwall’s mobile bank boosts community spirits with a wide range of banking services in this rural area. Over 350 rural communities have benefited from NatWest and the Royal Bank of Scotland’s initiative providing banking services to 14 local towns and villages.
D£von Pound
Word-of-mouth is helping to roll out the D£von Pound initiative providing locals with advice on their financial options. Mostly by visiting homes, outreach workers are offering people of all ages help towards financial security. This partnership project also funds educational programmes in financial literacy for young people.
Cumbrian Debt Rescue and Financial Advice
This innovative project offers a positive way forward for people with emergency financial situations. The scheme crucially provides quick loan decisions to address urgent debt. Run through existing credit unions, it provides follow-up money advice and the project’s partners hope to cover wider financial inclusion issues in the future.
Financial Education Project in Dumfries
For vulnerable people, this project provides advice and support aimed at avoiding financial distress. Through Citizens Advice Bureaux, the project reaches out to people from a wide range of backgrounds, primarily in their own homes. Six pilot areas in Scotland have received £500,000 from the funders Scottish Executive over a two year period since 2005.
Bank i Butikk
Full banking services offered on shop premises are the basis of this successful Norwegian scheme. Operating securely through the tills of one of Norway’s largest chain of food outlets, basic banking is being taken up by large numbers of low income earners, women and the elderly. More face-to-face specialist advice is available by arrangement.
Ely Citizens Advice Bureau
Based in areas with no previous access to personal debt advice, this rural CAB has secured funding from the Financial Inclusion Fund (FIF). Outreach workers provide face-to-face advice to people with all levels of debt problems – from one off loans to eviction situations. The initiative’s success is underpinned by the reputable quality of the CAB, now running 10 of the 16 projects funded by the FIF.
Farm Crisis Network
Set up in response to the high suicide rates of farmers, this network of 250 non-professional volunteers offers support to the farming community. Increasingly, they are advising on the complex financial issues surrounding farming situations. The volunteers can additionally refer farmers to support organisations for professional advice or direct them to the Network’s national confidential helpline.
Just Credit Union
Rather than being projected as a ‘banker for the poor’, Just aims to provide high quality financial services to its county-wide clients. Based in Shropshire, Just became the country’s first county-wide credit union with a strategic business approach. Embracing technology in a large rural area, Just works in partnership to promote financial inclusion through volunteers in community centres, churches and housing associations.