Your Annual Report 2024
We are a member-owned organisation that works within South Manchester's communities to provide affordable
loans and convenient savings. Being run by like-minded local people, we treat our members as individuals, not over-
charging those with a poor credit history and keeping our community-rst ethos at the front of everything we do.
Who are we?
Our vision and values
A fresh look for 2024
Our brand refresh
Vision
Our vision is simple - to run a community credit union which is a signicant asset to the people and the economy of
South Manchester. Our members make us and are the only reason we are able to continue to achieve our asset.
Values
Quality Cooperation Ethics
Excellence is our goal Local people helping
local people
Trustworthy, open and fair
When you picked up this very Annual Report, you probably noticed something slightly different. Well, you would be
right! We are proud to present our updated look for 2024 and beyond. Don't worry - we haven't completely changed
the South Manchester Credit Union branding you all know and love. Let us show you a few of the key changes.
Logo Colours Personality
Positive
Inclusive
Fun
Trusting
Our new logo is designed to allow
our brand personality to shine
through, welcoming everyone who
wishes to join our credit union.
The new, more rounded font
displays our logo exactly how we
want to portray ourselves - as
friendly and positive.
We have stayed loyal to a similar
colour scheme. Blue remains our
primary colour, although we now
have a range of shades on our
palette.
We always aim to be clear, inclusive,
and accessible. Our warm colours on
the bottom row help us express this.
Our brand personality is a denition
of how we deliver our services to
members and what we're like to
work with.
We are all about your wellbeing,
putting some fun into nance, and
here as the place people know they
can trust.
What have we been up to?
Our year in pictures
Saving made simple
Your saving options
Open Savings
Locked Savings Prize Saver
Christmas Club
Dream Saver
• Give yourself nancial peace of mind knowing
you have money securely tucked away
• Deposit whenever you like with a standing order
or one-off deposits
• Access your savings with ease through our secure
messaging app
Young Saver
• Build these savings over your time with us
• You can pledge these savings towards loans
• All savings are invested back into our
community, allowing us to continue to provide
fair and affordable nance to everybody who lives,
works, or studies in South Manchester
• Win up to £5,000 just by saving every month!
• Every £1 you save here counts as an entry into a
monthly prize draw with other credit unions
• You can have up to 200 entries per month
• There are also 10 £50 prizes and 10 £20 prizes
• Achieve your dreams by saving here
• Set your dream goal with us and we will keep
your savings safe for you until you reach your goal
• Don't lose sight of your dreams - we'll help you
work towards achieving them
• Plan ahead and feel ready for Christmas
• Save all year round and withdraw your savings
from 1st November right up until the big day
• Anyone with Christmas Club savings is entered
into an annual draw with a top prize of £50
• Young Saver accounts are for anyone up to the
age of 16
• Help children understand the value of saving
• When young savers turn 16, they become an
adult member here
Andy Burnham backs SoundPound Loan Launch
Greater Manchester Consortium of Credit Unions
Back in February 2023, our Greater Manchester
consortium of Credit Unions (GMCU) launched a brand-
new loan product, the SoundPound Loan, as backed by
Mayor of GM, Andy Burnham.
The SoundPound Loan provides a safe borrowing
solution for local people experiencing a nancial
squeeze, perhaps for the rst time, brought on by the
Cost of Living crisis.
The launch was an opportunity for representatives from
all eight community credit unions in GMCU offering
the SoundPound Loan to come together with senior
gures from across Greater Manchester to celebrate the
milestone of launching a joint-loan product between
multiple credit unions, the rst of its kind in the UK.
Andy Burnham gave his full backing for the
innovative loan initiative – he even took part in our
#SoundPoundChallenge, thanks to some persuasion
from our marketing team, Ryan and Sam.
Speaking at the launch, Mayor of GM, Andy Burnham,
said,
“Credit Unions represent a positive, safe solution
to short term credit pressures. I’m delighted to see
them come together across Greater Manchester to
provide a local and ethical alternative to the high-
interest payday loan companies and loan sharks”.
Our CEO, Sheenagh Young, also commented on credit
unions,
“Credit unions have existed in local communities
across the UK for over 50 years and responsible
lending is in our DNA. We work with individuals to
help them through challenging times so that they can
grow their nancial resilience and kickstart savings
habits for the long term, whatever their income
level”.
David always had big ambitions, dreaming of becoming
a doctor as a child.
Although he wouldn’t go on to study medicine, David
studied Biochemistry in Nigeria as his rst degree.
Whilst in Nigeria, David spent time working with
terminally ill patients. The misdiagnosis that led to
people being there struck him. He knew that quality of
life could be improved if rst diagnosed properly.
This work in Nigeria inspired David to seek a Master’s in
Public Health. When an opportunity for a scholarship at
the University of Salford arose, he couldn’t turn it down.
David researched Foetal Alcohol Spectrum Disorders
as part of his Master's and wanted to continue and
complete his PhD to achieve his dream. However, as an
international student, David wasn't entitled to student
loans or benets and was limited to working up to
20 hours a week. David had to consider his wife and
2 young daughters when making his next move, but
giving up on his PhD was never an option. He had the
full support of his wife, but David still had to raise more
Achieve your dreams
David's Story
funds from somewhere.
David was not aware of
credit unions until a friend
recommended talking to us about
a loan.
“I thought I might as well try.
What’s the worst that can
happen?”
He applied for a Smart Loan to go straight towards his
tuition fees, which would mean he could carry on with
his PhD. A few days later, his application was accepted!
“Wow! The feeling was out of this world, it felt like
a miracle. Even now it’s like a brand-new feeling”
David completed his PhD and achieved his dream
and offered a permanent position at the University of
Salford.
David’s advice to people still chasing their dream?
“Keep trying every option you have. Magic can
happen”.
Borrowing made better
Your loan options
Welcome Loan Family Loan
Smart Loan Green Loan
Saver Loan Secured Loan
• This is usually a member's rst loan with us
• You can apply from £150 up to £700
• Applications are assessed the same day
• Interest is charged at 42.6% APR
• Protect your savings with this loan
• Locked savings are equal to your loan balance
• You can apply from £150 up to £15,000
• Interest is charged at just 5.1% APR over £3,000
• Anyone with over £150 in savings can apply
• This is for members who receive Child Benet
• You can apply from £300 up to £700, depending
on the amount of Child Benet you receive
• Interest is charged at 42.6% APR
• Loyal members are rewarded with a lower
interest rate of 26.8% APR
• Borrow up to a bespoke credit level (max. £3,000)
• Apply to re-nance up to 4 times every nancial
year, between 1st October and 30th September
• To achieve any of your bigger goals in life
• Apply from £1,000 up to £15,000
• Applications are assessed within 5 working days
• Interest is charged at 14% APR for loans above
£3,000, and at 26.8% APR below £3,000
• Make sustainable changes to your life
• For every loan issued, we plant a tree locally
• Apply from as little as £500 up to £15,000
• Interest is charged at 10.5% APR for loans above
£3,000, and at 21.9% APR below £3,000
Scan the QR code to apply or ask any
questions on our messaging app
T&Cs apply to all loan products
All interest is charged daily on the reducing balance
It's competition time!
Your year in pictures
Best moment of 2023 Summer memories
£30 million total lending milestone
Celebrating £30 million in total lending
We have smashed the £30 million milestone of total
amount lent out to our members since we opened back
in 2000! Keeping local money within the local economy
and reaching out and supporting people to improve their
nancial wellbeing has been at the heart of this for us,
This milestone represents a great achievement for
community nance in South Manchester, displaying
the growing strength and signicance of the inclusive
borrowing solutions provided by credit unions.
We exist only to empower the people of South
Manchester, to work together to improve nancial
wellbeing and to be an anchor for safe nancial
services in the local social economy. £30 million in total
lending shows an expanding credit union presence and
sustained trust held with our community.
Jeff Smith, Labour MP for Manchester Withington,
congratulated the achievement, “I want to send my
congratulations to South Manchester Credit Union
for achieving their £30 million lending milestone”.
“As a member, I know the fantastic strides the credit
union has made since it started nearly 25 years ago
in the church hall on Fog Lane, Burnage. SMCU has
been a constant resource and support for the local
community ever since. This achievement demonstrates
the extensive support provided to local residents,
steering many away from high-interest lenders, and
the support that local residents have given back.
Congratulations to everyone involved in making this
happen”.
Thank you so much to each and every one of our valued
members. We appreciate you all so much - here's to the
next milestone!
In your own words
Our latest Google reviews
We've reached a milestone of £30,000,000 lent out since our formation
Our credit union in numbers
As of 30th September 2023
Our credit union in numbers
During nancial year 2022-2023
Active members
4,708
Member loans
£2,899,878
60.7%
of members borrowing
Christmas Club
members
190
Adult savers
4,190
Adult savings
£3,922,037
Young savers
155
Young savings
£118,811
466
New members
Loans
issued
4,565
Amount
lent
£2,671,493
Total income
£554,718
Total expenditure
£544,261
Savings
deposited
£3,087,111
Adult savings growth
Loan book growth
Adult member growth
0.7%
4.9%
2.7%
Yes Mike, it is a Wonderful Life.
Even through difcult times like the last few years.
Credit unions like ours continue to grow in numbers and reputation
because we focus rst on what’s right for our members.
Here in South Manchester, we have achieved two signicant
milestones together; our loan book is now over £3 million for the
rst time and we have lent more than £30 million since we started
in October 2000. It is testament to the loyalty of our members that
97.3% of loan repayments are honoured.
Growing awareness of our Smart loan offer led to a further 23%
growth in Smart loans during this nancial year. Existing members
tell us they are delighted to nd out they can deepen their trusting
relationship with us to nance home improvements, holidays, visa
applications, cars and much more. New members are attracted by the
rates and the exible terms.
We can now approve new loans up to £1,000 in one day due to
improvements we have made behind the scenes. The number of
applications doubled in the run-up to Christmas 2023. It is good
to have the Nivo messaging app available in our own name and a
website refresh with an option to join and borrow directly from the
webpage.
We have deepened our marketing knowledge through working with
Mike Pye & Co in 2023. They have developed a strategy and brand
refresh with us. Plans are well ahead for a campaign this Spring as we
It’s a Wonderful Life
I watched the 1946 lm ‘It’s a Wonderful Life’, for the
rst time this Christmas. It’s about the usefulness of a
life. It’s about a community savings and loans scheme
which keeps decency and self-respect in the community.
‘Bailey Building and Loan’ provides a reliable alternative
to predatory lenders who would get rich as they make
others poor. James Stewart plays the manager who
struggles to appreciate the value of what he’s done with
his life. It’s the credit union story for sure.
We in South Manchester Credit Union are the trusted
and safe alternative to taking a loan from a person who
sees your vulnerability and ties you in a web of debt
and fear. Such people are active in our community. They
always have been.
So like George Bailey (James Stewart), we
are determined. Our work is useful and it is
transformational. We focus on the people who need
us most and we change their lives. We focus on their
wellbeing and we iron out the nancial ups and downs
of their lives. We can do this because we’re organised,
Board Report
Mike Connolly, Chair
CEO Report
Sheenagh Young, CEO
as they say in another great lm, Chicken Run (2000).
We have developed our Board of Directors this year and
with Sheenagh’s unfailing support, we are internally
strong and externally focused. Internal and external
auditors have approved our operation and we are close
to completing our next ve-year strategic plan. We plan
a community credit union, focused on the wellbeing
of the people in our community. We will be outward-
looking and collaborative with other credit unions in
Greater Manchester. We will innovate and we will grow
in size through technology, through our reputation for
member services and with social enterprise lending. I
salute our staff team and my fellow directors for their
commitment and friendship.
Thank you in particular, to
directors Paul Murphy and
Martin Logan for your long
and distinguished service to
South Manchester and its
credit union.
push forward with fresh energy into 2024.
Listening to members is vital to us and we are proud that 15% of our
membership have taken time to leave us a 5-star Google Review.
We are now also introducing the 1872 Temperature Check to further
measure member satisfaction. We want our members to thrive
nancially.
It has been a pleasure to welcome Emily and Abdullah to our lending
team and see them bring a positive impact this year. Our staff work
hard to serve members and also want to enjoy the days - you can see
us on social media as we celebrate staff birthdays in the Fog Lane
birthday ‘throne’. We believe in the feel-good factor.
This has been another solid year of development for GM Consortium
of Credit Unions which is now a collaboration of 14 sister credit unions
all based in GM. Together we have 76,108 members, assets of £242m
and a loan book of £139m. We have partnered with GMCVO who
designed the Enterprising Communities Fund as an innovative way for
local credit unions to invest in GM social enterprises. It is the rst fund
of its kind in the UK so we were excited to celebrate the launch with
Andy Burnham in January 2024.
I have been working with our directors on
our strategy for the next ve years and
we have ambitious plans. We want more
people to know that we are a community
anchor for safe, friendly, affordable
nancial services. True to ourselves and to
members. Improving lives, together.
Assets
Bank and cash balances
Loans and advances to members
Tangible xed assets
Receivables
Liabilities
Member's deposits
Other loan capital
Payables
Retained earnings
2022/23
£
1,986,003
2,575,203
5,905
20,332
4,587,443
4,040,848
12,504
54,381
4,107,733
479,710
4,587,443
2021/22
£
2,027,073
2,511,974
5,391
9,201
4,553,639
4,008,123
17,241
56,194
4,081,558
472,081
4,553,639
Loan interest income
Interest paid (dividend)
Other Income
Total income
Staff cost
Impairment losses on loans to members
Marketing
Depreciation
Operational costs
Total Overheads
Surplus before Corporation tax
Corporation tax
Distributable surplus
2022/23
£
501,242
-11,395
64,871
554,718
-262,127
-122,028
-28,972
-4,987
-126,147
-544,261
10,457
2,828
7,629
2021/22
£
487,399
-9,321
94,473
572,551
-265,162
-108,749
-23,090
-19,420
-122,544
-538,965
33,586
-269
33,317
Statement of nancial position
As of 30th September 2023
Statement of comprehensive income
For the year ended 30th September 2023
In the summer of 2023, our marketing team, Ryan and
Sam, visited Moss Hey Primary School to deliver an
engaging workshop on different topics all to do with
money and nance.
Financial education lies at the forefront of our mission
to work with local people to improve their nancial
wellbeing. Providing this education directly to the next
generation represents a huge step towards improving
the nancial wellbeing of these children when they
become young adults and face their rst real nancial
obstacles in life.
Real-world topics, such as nance, may not be covered
enough in today’s schools, leaving some lacking the
necessary know-how for the challenges adulthood can
bring. We are committed to improving the nancial skills
of our community through quality service, resources,
and education.
Marie, a member of South Manchester Credit Union and
teacher at Moss Hey Primary School, described the visit,
“As well as learning valuable lessons about money,
the children really enjoyed the class. These skills are
Financial wellbeing for the next generation
Our visit to Moss Hey Primary School
What are South Manchester's children dreaming of?
Southway Fun Day
necessary when growing up, so it’s great that they
have had the opportunity to learn at a young age”.
Keeping sight of your dream goals and saving up to
achieve those goals is something we believe is vital
to maintaining nancial wellness and positive mental
health, and that is exactly the message we gave to the
children. They even got to make their very own dream
savings box!
Sam Coleman, a member of our marketing team, said,
“I believe nancial education is a very important
subject for the younger generation, as it’s something
that I wasn’t taught at school”.
Making sure that children of
this age are equipped with
some basic understanding
of real-world nance is
something we believe is
essential in preparing their
nancial awareness for
adulthood.
We had a great time talking to everyone who came to the Southway Fun Day on Westcroft Road back in August.
Our money quiz proved quite the treat, as 34 children took part in our quiz and told us their dream goals. Take a
look at them for yourself below.
Visit us
187 Fog Lane
Burnage
M20 6FJ
Contact us
Download our messaging app
0161 448 0200
hello@smcreditunion.co.uk
Follow us
@SmCreditUnion
South Manchester Credit Union is authorised by the Prudential Regulatory Authority (PRA) and regulated by the
Financial Conduct Authority (FCA), and the Prudential Regulation Authority. FRN 213666
Get to know us
Meet our team
In our community
Our connections
Abdullah
Ginka
Sam
Aimee
John
Andrea
Raqeeb
Emily
Ryan
TrishSheenagh
Congratulations to all of our competition winners from 2023: Sara, Jean, Carole, Donna, Marie
www.smcreditunion.co.uk
0161 448 0200
