An ‘alternative mainstream’? The impact of financial inclusion policy on credit unions in Wales

Not having access to mainstream financial services, such as a bank account or a credit card, can lead to a variety of social and economic exclusions. In a number of countries, particularly Ireland, Spain, Canada and the UK, credit unions—member-owned financial co-operatives—play a significant role in reaching under-served and excluded communities, as well as providing ‘safe’ avenues for savings and credit. Yet many credit unions are facing financial and operational problems. This article looks at the experience of Welsh credit unions. The research has implications for policy development and government–credit union relations in Wales and further research on credit unions and financial inclusion.