The Bank of England has been urged to fund local and community banking, in order to ‘level-up’ the UK economy after the COVID-19 pandemic. In a new report out today (22 June), The RSA warns many of the current emergency schemes are neglecting communities and are overly focussed on larger banks. Instead, it calls for a new approach towards the third sector, start-ups and local banks are needed to ensure the survival of communities after the pandemic. It argues that a focus on community banking would ensure that financial support is getting to those who need it most. In particular, the report calls on the Bank of England to create an endowment fund for community stakeholder banking. Known as a Local or ‘Levelling-Up’ Investment and Finance Trust (LIFT), this would support the long-term resilience of the financial system. Local authorities would be encouraged to apply for and hold LIFT funds … (To read the full article, subscribe below)
Senior reporter – NewStart
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