Credit Union membership hits record high

Latest data from the Bank of England on the Credit Union sector shows that adult membership grew 33% to 2.16 million in Q1 2025, a quarterly rise of 7,076 and an increase of 43,905 compared to Q1 2024.

The total value of assets held by Credit Unions rebounded slightly in 2025 Q1, increasing 0.14% to £4.89 billion after the first quarterly fall since records began in 2024 Q4.

Quarterly income and expenditure reported by Credit Unions in 2025 Q1 retracted from the record levels posted last quarter. Income fell by 12.98% to £99.62 million, and expenditure fell by 15.76% to £86.83 million quarter-on-quarter.

Interim profit increased by 12.24% to £12.77 million in 2025 Q1, driven by increases in England and Scotland, as falls in total income were offset by even greater falls in total expenditure in both regions.

Matt Bland, ABCUL Chief Executive, said “These record-breaking figures underline the vital and growing role that credit unions play in people’s lives across Great Britain. The latest data shows continued growth in membership, lending and savings – a clear sign that more and more people are choosing credit unions as trusted, community-owned financial institutions.”

“At a time when households continue to face economic pressures, it’s inspiring to see credit unions not only providing affordable and responsible credit, but also returning millions in dividends that go directly back to members and their communities.

“The sector’s resilience and commitment to financial inclusion has never been stronger, and ABCUL is proud to stand alongside our members in driving this progress forward.”

Paul Matthews, Senior Director of Risk at Broadstone, said “Credit Unions continued to build members and assets through the first quarter of the year, capitalising on the gap left on one side of the consumer credit market by a tightening of mainstream lending criteria and on the other from borrowers turning away from traditional banks.

“Demand for borrowing remains high given the financial pressures that many households face, which is another key growth driver for the Credit Union market and expected to remain elevated as we head into winter.

“Credit Unions can offer members a more personalised service with greater flexibility in underwriting which can be more accommodating for borrowers with limited credit history or irregular incomes. However, Credit Unions will need to ensure that this growth is controlled and measured with well-understood risk and the appropriate levels of customer care.”