Felly, mae y cyfnod 15426 yn cylünkir Ijl pressuredurol ar ein ddai full lu dod mewn ddeallon ac rwyfyrdd oickyw'r cyfnod, ond siechdoedd. Geau d confidential Aberystnom, yr Helge's Cymru yn gyngor i ddweud y ffiiwl i ddechrau? Mae Llyfrgell Gwilٹ isgaf am gyngorau'r amserau, bydd defnyddio'r llinwstIG ien nhw'r gweithio yw rhai, i gydigio'r diwrnod ffordd, neu o edrych gôr o'u gallu greu, ac mae pobl yn dweud o hynny хwynt gydig i fanoddolion i fitnig oherwydd ymddangasodd bynnag yn ymwyllhau, a mae pobl yn nhw'n ddiddog o gerwi allu'r union i meddwl i gydigio'r amser. Credits have communities of people who unite and pull their money to provide each other with ready access to credit. The philosophy of people helping people is at the core of the credit union movement. As member-owned financial co-operatives, credit unions exist for the benefit of the people who use their services. They are not for profit. As such, any funds they make go right back into providing competitive rates on savings and loans, which is why they can use the line people not profit with pride. Credit unions have at their heart the principles of individual responsibility and mutual assistance and are driven by a singular purpose to serve their members. They improve the lives of people through encouraging the wise use of credit and teaching the importance of budgeting. Some credit unions also provide complementary services in addition to savings and lending, such as current accounts and mortgages. Credit unions are diverse, ranging from small community models to large organisations handling millions of pounds. Many people are surprised to learn that over 420,000 people in Scotland are already members of the 90 credit unions in Scotland. That means approximately 7.7 per cent of the population, which is compared with around 1.4 per cent in England and 2.7 per cent in Wales. That is why it is so important that the Parliament and its members continue to celebrate and support the important role that credit unions play in our communities as providers of ethical financial services and look to what else we can do to promote credit unions to the people of Scotland. In November at the Capital Credit Union in Edinburgh, I launched a new campaign, a new national campaign, funded by the Scottish Government to make more people aware of credit unions and the ethical and affordable services that they provide. I hope that members in the chamber saw the campaign's key message of people not profit on the poster's buses online and in newspapers across Scotland or heard the adverts on the radio. That campaign sought to do two things. First, to challenge some of the prevailing myths that surround credit unions, for example that they are only for the financially excluded or that they are less secure than banks. Second, to promote the unique strengths of the sector in easy-to-understand messages. Those include that credit unions are owned and controlled by the people that use their services, that credit unions know that you are more than your credit score, that all customers will receive a friendly and professional service and that credit unions are for people from all walks of life and that folks should actively consider joining the 400,000-plus people that are already benefiting from being a credit union member. Neil Findlay, I think that it's a very good campaign. I've been trying this week to find out what the Scottish Government's total investment in credit unions are. I wonder if the minister could confirm that figure throughout our speech for me. I will confirm, because there are a number of areas in which we are investing to support credit unions, not least through the junior savings work. I want to say a bit more about that shortly. I do have the figure, but I can't locate it. I also have the funding that we're putting into the advertising campaign to support credit unions. That's in addition to some of the other softer support that we're providing around payroll deductions, as well as to try and promote to others the benefits of credit unions. I absolutely will come back with the figure, but I want to come to junior savings a bit later on in my opening remarks. While launching the campaign at Capital Credit Union, I had the chance to meet wonderful people who work and volunteer there. I met Jessica, a young volunteer, and I think her words helped to illustrate the unique qualities that set credit unions apart from other lenders, also known as the credit union difference. She said, "...you feel like they genuinely have your best interests at heart and staff are keen to teach you how to manage your savings. What I particularly like is the fact that you must save alongside paying any loan repayments and it's very ethical. I also like the way they promote their products, but don't encourage people to go over their financial limit." I understand that Capital Credit Union is now entering its 30th anniversary and I want to congratulate the staff and volunteers on their continued success and growth. I also visited NHS Credit Union last month for its 20th anniversary and I understand that the NHS credit union began around a kitchen table 20 years ago, founded by a passionate problem solvers who were determined to build a culture of financial resilience amongst NHS staff, offering a safe and convenient place to save and to borrow. However, since then, over those 20 years, it has now grown to more than 17,000 members living not just in Scotland but across other parts of the UK and north of England. I just want to point out that that is another example of a credit union carrying out the business for the common good but also alongside that work, doing it with real success. I thank the cabinet secretary for being to the 25th birthday party of the South Lanarkshire credit union, which the member will know of from her constituency. That has been highlighted to me a lot that the geographical spread and the rural reach of credit unions is a real challenge. That is partly because the difficulties are going online. I wonder whether that is being addressed either through the Scottish Government campaign or in any other way. Before you respond, cabinet secretary, do not worry about longer interventions, because I have time in hand. If you let me get there, Ms Mimish, it is on your behalf. Cabinet secretary, you normally have a soul regimented that we are quite determined to make sure that things are quick, so thank you for that comfort. I understand that. I give you guidance as always. I am really pleased that Claudia Beamish raised that point, because I was just about to talk about her and Ruth Maguire for their role that they play here in this Parliament, but certainly in terms of the most substantive point that Claudia Beamish raises around that geographical challenge that presents itself for people in rural areas about accessing it and about the support for online accessibility and about the competitive thing that they might have—credit unions with banks as well. I think that it is absolutely something that we need to look at and support credit unions and to work collaboratively about where there may be solutions to those challenges, but certainly something that I am acutely aware of, and I thank Claudia Beamish for raising it. I want to lead on from Claudia Beamish's intervention to recognise the work that she and Ruth Maguire, the vice convener of the Parliament's cross-party group on credit unions, has worked hard to provide a useful platform to discuss issues that affect credit unions in Scotland and offers a place to showcase good practice, but also possibly as well to influence future policy decisions. At the most recent meeting of the CPG, I understand delegates heard from the First Alliance Ayrshire credit unions speaking about their work with the local council and other partners to collectively improve money management by offering a holistic advice service—for example, energy advice, housing advocacy and white good provision—a service that has helped hundreds of people to get the advice and support that they need. Similarly, at the cross-party group of representatives from East Kilbride credit unions spoke about a scheme that they launched earlier last year, which aims to assist first-time buyers on to the property ladder by working in partnership with an independent financial advisor and encouraging all participants to save for a set period of time before providing them with a loan for a deposit. Those are examples of the extension of the people helping people philosophy that underpins the credit union movement and again just shows the breadth of work and scope that credit unions have and their imagination and innovation that they employ. There are credit unions across Scotland using their services in those creative ways to address a raft of social problems from loans to alleviate funeral poverty to savings accounts to help people to stop smoking. Credit unions frequently adapt their services to address specific problems facing the communities that they serve, and I would like to discuss some of those now. As well as developing financial capability in the heart of our communities and workplaces, credit unions are also important providers of financial education, running programmes in local schools to improve financial literacy and encouraging our young people to start good habits of saving. Since 2016, we have invested 274,000 in credit unions to develop new junior saver schemes in schools across Scotland, from Dumfries and Galloway to Muryshire. I am pleased that there are now more than 58,000 junior savers in our credit unions, but we want to build on that good work. I am delighted to announce that a further £85,000 will be provided to extend the junior savers programme until the end of September 2019. That will enable even more children to engage with their credit union and learn of the importance of saving and managing money. We are currently evaluating the programme and drawing out some of the key learning as we identify longer-term steps for this important piece of work. That goes some way to address some of the issues that Alex Rowley set out in his amendment, which we are delighted to support in the debate today. The Scottish Government also seeks to support the sector in other ways, notably in supporting credit unions to partner with employers to offer payroll deduction schemes to encourage savings and to have access to funds at a time when credit is needed. I believe that every workforce should have access to safe, ethical and affordable finance. There are clear links between financial health and levels of wellbeing and productivity, which research has shown that one in four workers report lost sleep over money worries, and almost 60 per cent of workers and financial worries say that it negatively impacts on their performance at work. There is wider cost to society, as it is estimated that this financial stress costs the UK economy £121 billion each year. That is why we encourage employers from both the private and public sectors to ensure that staff have access to regular savings and ethical loans by partnering with a credit union. Unlike financial institutions driven by a profit motive, credit unions are keen to help members to understand what they can afford to save and encourage their members to save regularly. For example, many credit union practices are a save-as-you-borrow model, encouraging members to put an amount into a savings account as part of making a loan repayment. Research by the Fair Banking Foundation found that this approach converted 71 per cent of credit union borrowers' surveyed into regular savers, with almost three quarters having never or only occasionally saved before. The emphasis on encouraging a savings ethos purely for the financial wellbeing of their members is typical of this unique sector. In the Scottish Government, we are trying to lead by example with staff encouraged to take up credit union membership. I know that the Parliament also encourages staff members here to join in as well. By making it easier for people to build up a savings buffer, we can help to keep more people out of the hands of high-interest predatory lenders. Being in poverty or on low or insecure income is, of course, a particular barrier for those seeking to access credit. Many people for whom accessing mainstream or high-street lending is not an option due to issues with credit rating or not having a bank account. We know that people in those situations can be vulnerable to exploitative lenders who prey on those communities where poverty reduces choice for many. That is why there is a need for a more developed and sustainable affordable credit market to ensure that people have choice over how and when to access the credit that they need and better access to financial services, including basic bank accounts. That is why it is also important to support our credit unions and to encourage people to both save and borrow with their local credit union. That support dovetails with our wider work to increase the availability of affordable credit. Last year, we invested £1 million in Carnegie's affordable credit fund, which will help to grow the community lending sector and support not-for-profit organisations such as credit unions and community development finance institutions. That is vital to ensuring fair, dignified and affordable lending is available to all. The resource will be used by the sector to provide genuine alternatives to high-cost credit lenders for people on low incomes. That will be achieved in a variety of different ways, including access to financial capability support, debt advice, savings opportunities and banking products and services. I am also delighted that, last October, fair for you became the first lender to draw down a loan from the affordable credit fund. That support for this sector over the next decade will help social lenders to work with people on low incomes to increase their financial inclusion. The Government also understands the important role that good financial advice plays in helping to lift people out of poverty. That is why, in November, I launched our financial health check. The new service will be delivered by Citizens Advice Scotland and the nationwide network of citizens advice bureau, backed by more than £3.3 million of Government funding over the next two years. Those who contact the service will have the option of receiving tailored advice either via the free phone number or face-to-face advice in a local citizen advice bureau. The financial health check aims to ensure that low-income families with children and older people can maximise their incomes and reduce the poverty premium, which sees the poorest paying more for basic services because they have that limited choice. By accessing good-quality financial advice, including benefit uptake and switching to lower-cost utilities, we want people to make the most of their money. The financial health check is made up of a number of elements, including access to free school meals, school clothing grants, council tax, reduction uptake and cheaper deals on energy and other utilities to reduce household costs. That new service will benefit at least 15,000 households a year and is yet another example of what action the Government is taking to increase the financial wellbeing of people across the country. To conclude, I want to reaffirm the Scottish Government's commitment to continue to work collaboratively with the credit union movement to ensure that it continues to thrive and develop and be as innovative as it can be. I certainly look forward to working with members across the chamber on that shared ambition and no doubt hearing their views and opinions about what more can be done to support this movement. I am sure that many members will want to highlight the excellent work of credit unions in their constituencies, and I look forward to hearing those examples during the course of this afternoon's debate, which is the motion that I move in my name. I welcome the debate on celebrating the role of credit unions in Scotland's local communities. I know the benefits of credit unions and their impact on communities first hand. I am a long-term member of a credit union in five, the Kingdom Community Bank. Earlier this week, I met members of staff, directors and volunteers of the Kingdom Community Bank, and they asked me to pass on to the cabinet secretary their appreciation and support for the promotion campaign, People Not Profit, which they said had resulted in an increase in people joining their credit union. I would pay tribute to Kingdom and to all credit unions here in Scotland. I would want to recognise the role of staff and the hundreds of volunteers, and I hope that this debate today will help to spread the positive message of the benefits of joining a credit union. Following the financial crash in 2008, it was evident that there was a breakdown in trust between people and the banking sector. I have to say that, with bank closures and the unwillingness of executives to listen to the needs of local communities, that mistrust remains today. While credit unions are not a new concept, they are more relevant now than ever if we are to foster a culture of saving and sustainable credit. Credit unions have a huge role to play in the development of more ethical and alternative banking services, where the drive to satisfy the need for profit is not the priority of the business model. As the cabinet secretary has said, here in Scotland we currently have over 90 credit unions in operation, with a combined membership of over £420,000, including over 50,000 junior savers, holding over £624 million and assets £350 million out on loans to members and £537 million in member savings. It is clear therefore that credit unions are a major source of economic importance in Scotland. However, there is still a long way to go in growing the membership figures. As the Association of British Credit Unions points out, in the United States there are over 100 million credit union members serving around 44 per cent of the economically active population. So one of the key asks here today is how do we manage to grow the credit union sector? A number of reports and indeed the credit union working group from this Parliament, which published a report in 2016, have argued that one of the most effective ways of doing this is through supporting partnerships between local employers and credit unions. The Association of British Credit Unions Work Not Worry campaign states that worrying about money affects the health and performance of millions of workers. Employers can help by working in partnership with credit unions. That reduces stress, increases productivity and costs very little. Everyone is better off. The statistics speak for themselves as to why we need to do something about this. One in four employees lose sleep over money worries. 59 per cent of employees with money worries say that they are not working at their best. 26 per cent of working age adults in the UK have no savings at all, and a further 29 per cent have less than £1,000 in savings. The process of offering a payroll deduction facility would encourage more employees to save and borrow with a credit union, something that would benefit the employer, the employee and the wider community. There are already a number of companies and organisations doing this at present, such as the NHS, local authorities, John Lewis, Royal Mail and British Airways. I hope that the Scottish Government will recognise that. I am pleased that it has said today that it will accept our amendment, and now it is for this Parliament to come together, work together to encourage more companies and organisations to follow this approach. Credit unions are a way of bringing wider benefits to individuals, families, communities and employers, and they can be the way to tackle one of the biggest challenges in our society, the unacceptable levels of poverty. The Joseph Rowntree Foundation has recognised the role that credit unions can play in reducing poverty. In their report, we can solve poverty in the UK. Further to helping people out of poverty, credit unions can offer a viable alternative to payday lenders that many in our communities sadly have to rely on. With more than a quarter of people in the UK having no savings in the bank and even more having less than £1,000 in savings, it is not just the poorest that can benefit from credit unions, but the majority of the population in Scotland can benefit from being part of a credit union. Credit unions want to stress the point that they are not just services for poorer people, they are community services for all people. Credit unions can provide access to loans at a much better rate than offered by many large, well-advertised and highly visible payday loan sharks. Many of us in the chamber will have seen the adverts online and on television, which sing the praises of quick, easy access to loans without the outrageous levels of interest being charged. Credit unions are less visible, perhaps not so convenient to access, and sometimes people do not really understand what they are. It is vital that we start sharing the benefits of credit unions as widely as possible. Partnership working at local level again could play a big part in raising awareness. By educating children and the benefits of credit union, which I am glad that the Government has accepted in our amendment, we can start to set out a future where poverty is reduced and children have a better understanding of money and budgeting. To highlight a great example of this, I would like to speak about the work that is being done by the Benarty and Lochgelley credit union, which is Fife's oldest credit union, where strong links have been developed with the local primary and secondary schools and, indeed, pupils themselves take responsibility for organising credit union savings within the schools. Thus embedding the savings habit at an early age, which, hopefully, will stay with the children for a lifetime. This is a model that could be extended across all schools in Fife and Scotland, and, indeed, is contained within the Association of British Credit Unions' credit union charter, which states to establish a credit champion in every primary and secondary school across Scotland, who will lead that school's partnership with a local credit union and facilitate pupils' involvement. I am glad to see that Benarty and Lochgelley are one of the credit unions leading the way and delivering those kinds of services. In conclusion, put simply, credit unions are community banks. They exist to support and assist the community in saving and lending. They put money directly into local communities and the members share in the profits. The Parliament has much to gain from ensuring that credit unions flourish in the future. I move the amendment in my name. I am pleased to open for my party on this debate, highlighting the important role of credit unions in Scotland. I think that it will be a very consensual debate, because credit unions have attracted strong cross-party support. There is a well-attended CPG, and members of all parties have spoken strongly in favour of credit unions, both in this chamber and at Westminster. In the spirit of this approach, I want to start by putting on record that the Scottish Government has done some really good work in this field through their People Not Profit campaign. I recognise that the UK Government has done so through its various initiatives. I believe that we are united in our desire to see the uptake of credit unions promoted and to ensure that all Scots have access to finance and independent banking alongside the regular high street banks who have their own role to play in the market. Credit unions bring a variety of benefits to our economy and can encourage an uplift to productivity, which none of us, as I am sure, would not want to see. An American credit union, the Filane Institute, found that a financially capable workforce not only improves productivity and employer profitability, it also results in less absenteeism, fewer accidents and less job turnover and lower benefit costs. Alex was making a very good point when he was talking about how much a role credit unions have to play, not only in that day-to-day banking but in that wider societal place, and the Cabinet Minister also touched on that. Research revealed that, ultimately, employers who are financially secure are better labelled to learn, change and grow with the company. They have a real place in our whole economy. There is a place for credit unions in financial education as well, particularly through the junior saver schemes that we have heard about. They seek to instill the principle of saving among pupils at a young age. We have also far agreed that that is a commendable aim and one that we should all promote in our constituencies. Often, those schemes are geared towards a specific purpose or incentive, such as saving for a trip, and they can demonstrate the value of saving for greater gain in the long term. Unfortunately, the most recent figures that I have available show that a majority of credit unions in Scotland do not operate a primary school junior saver scheme, with even a larger percentage issuing a secondary school project. I urge members to investigate the credit unions in their constituencies over the weekend and find out if they operate such a scheme. If not, perhaps engage in a conversation to see how we can encourage that good practice to grow. Another area that I would like to touch on is that of the payroll deduction schemes that have already been mentioned. That is an idea that enjoys the support of Abcol, the Association of British Credit Unions Ltd, the Chartered Institute of Payroll Professionals, the Scottish Government and the UK Government, and the benefits are clear. Payroll deduction is a very simple process, with administration largely handled by the credit union. Savings are covered up to £75,000 per person—I wish I could get to that some, I believe me—but it is protected, so you are at no risk of losing that money. It provides an added financial cushion to protect members. I support the SIP's efforts to encourage uptake amongst employers, as I would encourage employers to open themselves up to that idea. SIP has created a payroll data transfer standard that allows a smooth transfer of data of any credit union, so the tools are there, and all that we need to do now is promote it. There are positive steps that have been taken to encourage the growth of credit unions. As the Scottish Government has already pointed out through the cabinet secretary today, the recent campaign that we have seen everywhere—and I hope that we will see more of—will contribute to that. In example, I read of recently, it was a project involving the Carnegie UK Trust and five Scottish credit unions to help workers in Scotland to benefit from credit union membership through their employer by creating a new post and employer engagement officer. Given that building partnerships with employers is a major issue for credit unions, this step is most welcome. The UK Government has also been working to encourage credit union growth, and the Chancellor announced a major package of measures in the autumn 2018 budget, which I hope that the chamber welcomes. Boosts for credit unions included the announcement of a pilot prize-link saving scheme for credit unions, based on the US model that is safe to win, operating in a similar fashion to a premium bond. The Department of Digital, Cultural, Media and Sports's affordable credit fund has also helped 66 credit unions to lend over £20 million to their members, with £5 million of direct investment so far. The positive impact of which has been welcomed by Abcol and the Lloyds Banking Group Credit Union Development Fund. However, one of the most significant measures adopted by the UK Government has been expanding the common bond from £2 million to £3 million. That opens up the world of credit unions to a plethora of new potential members and gives them the scope to be ambitious with expansion plans, as well as adapting credit unions to the modern world, where people are perhaps not as so closely tied together around a single business or an area as they once were. That has refreshed the credit union landscape, and I hope that we can work together to support that policy. For me, however, one of the recent things that I came across is around how credit unions interact with welfare payments and budgeting. I was at a recent welfare surgery in East Renfrewshire, and I spoke to the staff of the Pioneer Mutual Credit Union, and they told me in detail about the partnership work that they are doing with East Renfrewshire Council and Barhead Housing Association to provide a free money management account for universal credit payments. That means that once a universal credit payment is made, the individual's rent is deducted and protected within their account and then transferred directly to their landlord or council, ensuring that their rent is paid, therefore removing the threat of arrears. For those experiencing difficulty with housing costs, that could prove to be a very valuable tool and is a really good example of how credit mutuals work closely with other partners. In conclusion, credit unions are a vital source of microfinance in today's complex financial world. The variety, autonomy and specialisation on offer from the sector gives it a depth that traditional banks lack, and it gives a personal touch that cannot be replicated elsewhere. In support of those qualities, I would suggest that we each become a champion for the credit union cause in our constituencies. Thank you very much. I call Andy Wightman, Mr Wightman. Presiding Officer and thank you to the cabinet secretary for bringing this debate this afternoon. Scottish Greens were elected on a manifesto to champion credit unions and realistic alternatives to the traditional banking sector and were proud to support organisations that promote social responsible lending. We're a party that has an ethical banking policy that encourages co-operation, inclusivity, responsibility and the favouring of investing over speculating. The defined purpose of credit unions, as asserted in the credit union act of 1979, very much reflects this vision. According to the act, credit unions have a statutory basis to promote thrift among members through the accumulation of savings, create sources of credit for the benefit of members, a fair and reasonable rate of interest, use and control member's savings for their mutual benefit and train and educate members to prudently manage their own financial affairs. I would like to mention other welcome initiatives. In December, I was very pleased to speak at a round table in Parliament shared by Richard Leonard, which the cabinet secretary also spoke. This was a round table on responsible finance, organised by responsible finance, ScotCash, which is a community interest company that is now working closely with credit unions in Glasgow and the Carnegie UK Trust. At times, as everyone knows, until recently, the banking sector has principally been the antithesis of everything that the credit union movement represents, with the dominance of large multinational financial institutions. As a witness, with their downfall over a decade ago, those banks such as RBS, HBOS and Lloyd's TSB operated too often not in the interests of their customers or wider society but for the perceived short-term benefit of their shareholders and policy makers. Key politicians and policy makers were all in favour of the light-touch regulation, along with myopic. Industry leaders took the view that those organisations were too big to fail. As everyone knows, our global economy was derailed because of a casino-style banking system that offered outrageous rewards to well-renumerated executives operating at the limits of legality. Individuals and families and communities who contributed to the public finances and public institutions balance sheets were put at risk as a consequence. The financial crash should have been a wake-up call to begin the process of restructuring the way that we do banking in lending in the UK, but, apart from some modest tweaks to the system, no fundamental reform has followed. It is abundantly clear that we need a new financial services model that is more mutual, more co-operative and more local, and that is where credit unions play a significant role. Alex Rowley cited UK statistics about where families are with finance at the moment, but the latest Scottish household service shows that 22 per cent of households had no savings at all. 14 per cent had less than £1,000. Breaking that down by housing tenure, for example, there are obvious inequalities. The study found that, for example, 49 per cent of people in socially rented accommodation had no savings, and 18 per cent had less than £1,000 compared with the owner-occupied sector, where only 9 per cent had no savings and 11 per cent had less than £1,000. There is also a significant gender gap in household finances, too, as it was found that households with highest income earners as female were more likely to report not having any savings at 26 per cent compared with 19 per cent for male householders. The work of credit unions, as the minister has made clear in delivering affordable loans and saving options, should be encouraged, and we too welcome the Government's campaign on this yet.  To proceed, we need to learn from best practice elsewhere. In 2016, in a report called Banking for the Common Good from Friends of the Earth, Scotland, the Common Wheel, the New Economics Foundation and Move Your Money, the author set out a plan that would turn away from the highly concentrated profit-driven banking to an ecosystem of institutions such as people's banks, which could be structurally designed to work for the common good. One of the issues when one looks at this topic is that much of that is already in place in other European countries. In Switzerland, for example, 45 per cent of people are customers at one of the local banks that incorporate the Cantonal Network. Those branches hold over £256 billion of domestic money, and one-third of small and medium-sized firms conduct their business. In Germany, of course, as well, the successful Sparkasin banking model exists. Those are local banks publicly owned with a public interest mandate, restricting them to lending within their geographic area. Sparkasin provides financial services to 43 per cent of all German businesses and accounts for 70 per cent of SME lending. It is estimated that 60 per cent of German citizens have a relation with their local branch, and no Sparkasin bank has defaulted since the 1970s when a shared safety net was set up. In principle, it shows, like credit unions, that a prudence over profit model can be a successful business. I welcome Alex Rowley's amendment. In particular, I focus on education and welcome the cabinet secretary's commitment to expand the funding for that. Too much of the support and education around finance that I have seen in schools appears to be sponsored by large financial corporations, which I think is sending a rather confused message to many young people. In conclusion, Scotland's credit unions can be progressive and bold, but only with political will, sufficient funding and support in place. I hope that we can be more ambitious than we have been in the past. I support the cabinet secretary to build on what has been discussed today to ensure that we actively back the development of this sector to be a strong and stable constituent of Scotland's banking sector and economy. I am delighted to be taking part in the debate on behalf of the Scottish Liberal Democrats, unlike Alex Rowley. I start by declaring an interest. I am a member of the High Scott credit union, which operates across the Highlands and Islands. I cannot claim that my savings are a major contributor to helping to keep High Scott in rude financial health, but it is encouraging to see the credit union making a real positive contribution to communities across the region 12 years after starting from its base in the western isles. In the islands, I represent the credit union works in close collaboration with Orkney Housing Association and Voluntary Action Orkney, demonstrating the sort of partnership approach that is the hallmark of the movement as a whole, which is absolutely critical to sustainability in more remote rural and island areas. With around 3,200 members across the Highlands and Islands, however, it is fair to say that the potential for High Scott to grow is there, to deliver the benefits that credit unions bring to more individuals, more households and more communities across the region, particularly in Orkney, and I hope to see this happen. There is no question that others have pointed out that credit unions deliver real tangible benefits, notably in Scotland, where they are used more than anywhere else in Europe, by understanding the exception of Northern Ireland, the Republic of Ireland and Poland. Based on the principle of the common bond, that shared connection within a community, this is a movement that, as the cabinet secretary reminded us, is all about people helping people. Whether we are talking about the smaller volunteer-run unions with hundreds of members or the larger unions with paid staff and premises, the principle, the ethos and the objectives remain the same. Essentially, credit unions provide services that are critical in helping to combat financial exclusion, especially, but not exclusively unless we are well off communities. Alex Rowley was absolutely right to remind us that credit unions are not just for people in poverty, they are for all people in all communities, but there is no avoiding the fact that by reducing the risk of people paying beyond their means for the financial services that we all need, while also encouraging a savings culture, credit unions help to build resilience, improve financial capability and nurture cohesion within communities. Those are all desirable at the best of times. During a period of economic turmoil, such as we have seen over the last decade, the role played by credit unions could hardly have been more important. Since the Labour-Libdom coalition Government produced the first credit union action plan back in 2001, followed by a series of financial investments and support for their development, we have seen consistent and strong support and progress made. That is illustrated by the report produced by the working group and Scottish Government in 2016. It underscores the contribution made by 100 or so credit unions across the country. Around £375,000, over half a billion pounds in assets, loans approaching £300 million, all big impressive numbers. Critically, the Government's 2016 report also identified ways to facilitate the further development of credit unions. That was touched on by the Cabinet Secretary, principally in the areas of payroll deduction and financial education. In terms of payroll reduction, it is widely recognised as an ideal way of enabling people to save regularly and, where necessary, manage loan repayments effectively. I know that the Scottish Government is keen to encourage more employers to offer this as a standard workplace benefit, and there is certainly a real appetite among credit unions who do not already run such schemes and, in fact, most do to get involved. All too often, credit unions report significant challenges in persuading employers to sign up or, where they have done so, to promote take-up among staff. I appreciate that there are no easy answers for addressing that, but Alex Rowley is right to argue in his amendment that there is more that the Scottish Government can be doing to encourage employers to offer payroll reduction to credit unions by emphasising the fact that this is a simple process and the administration is largely taken on by the credit unions. By assuring employers, there is no risk to them regarding loan repayments and security around savings by highlighting the benefits to employees who can access credit and repay loans in affordable instalments, making it easier to steer clear of high-cost lending. The Government has done commendable work promoting the living wage and incentivising business to sign up as living wage employers. Clearly, even those on the living wage can be at risk of financial difficulty and exclusion. I suggest that there is an opportunity to more closely link up the work around promoting the living wage to efforts to encourage employers to sign up to payroll deduction arrangements with credit unions. There is then still the question of take-up by staff, and in that respect, all the evidence shows that having a workplace champion can be pivotal. Again, I would argue that the Government can play a key role here, too, in not just getting employers to sign up to payroll deduction schemes, but also to look at ways of promoting that within their organisations, including identifying individuals who can act in that champion role. In many respects, those same principles could and should be applied to the development of junior saver schemes, too. Self-evidently, it makes sense to nurture at the earliest possible age a savings culture. Financial education, after all, is a perfect fit with what curriculum for excellence is supposed to be about. Too often, however, schemes that are set up struggle to survive as individual members of staff or pupil groups move on. Good work is being done, and I think that it would commend the work of Young Scot and their partnerships in this area. However, I think that there is a real need for greater creativity in thinking about how those schemes can be established, expanded and crucially sustained, including through the more effective use by credit unions of technology. I welcome the fact that we have been able to have this debate this afternoon, to allow Parliament the chance, as has already been heard today, to acknowledge the vital role played by credit unions in communities across our country. Despite the progress and successes of recent years, however, it is clear that more can and must be done to promote the wider use of those credit unions. Efforts to do so, I am confident, will command unanimous support across the chamber, and I confirm the Scottish Liberal Democrats' support not just for the Government's motion, but for Alex Rowley's amendment. We now move to the open debate. There is a little time in hand, so there is time for interventions or, indeed, a little over your allocated time. Emphasis on little. I now call Annabelle Ewing, followed by Maurice Corry. Thank you, Presiding Officer, and I'm very pleased to have been called to speak in the debate this afternoon on the vital role that credit unions play in communities right across Scotland and, indeed, in many, many countries right across the world. As far as Scotland is concerned, as we have heard, there are over 90 credit unions with a combined membership of some 420,000 people. As the cabinet secretary has said, that means that around 7.7 per cent of the population are in fact members of credit unions, though it is perhaps interesting to note that, in the island of Ireland, there are some 351 credit unions and some 3.6 million members. We perhaps still have a way to go, but I think that it's fair to recognise that there has been steady progress in Scotland over past years. It is to be hoped that the debate today and the awareness-raising campaign that the Scottish Government recently undertook will help to raise the profile of credit unions even further. For credit unions to provide, as we have heard, an invaluable service to the local communities that they serve, they can make available loan funding at affordable rates since they are owned and controlled by the people who use the services of the credit union. They are not banks, Presiding Officer, witnessed by the fact that any profits are invested straight back into the credit union to keep interest on loans and savings competitive. However, light banks are subject to prudential regulation, with the financial conduct authority being a lead regulator. That means that deposits are guaranteed just as with standard bank deposits up to a certain threshold. Membership of a credit union is based on, as has been referred to, a common bond, which used to be defined by reference to a geographical area alone, but has widened out, in some cases, to include, for example, a specific workplace or membership organisation. Presiding Officer, in my Cardinbeath constituency, as well as the Kingdom Community Bank credit union, I am proud to say that there is also the oldest community credit union in Fife, that is the Benarty and Lochelli credit union that has already been mentioned. The Benarty and Lochelli credit union was established in October 1989, and therefore its 30th anniversary is coming up later this year. I am sure that members of the credit union would be delighted if the cabinet secretary was able to mark that 30th anniversary in an appropriate way. I am sure that they would love to meet with the cabinet secretary in person. I thought that I would take the opportunity while I still have my feet to get that one in. The Benarty and Lochelli credit union has around 2,240 members, and the membership, that is the common bond area, is drawn from Billingary, Lechord, Crosshill and Glen Creek in Benarty and also from Lochelli. The assets held are currently over £1 million, and the share value is around £1.5 million. The maximum amount that can be loaned is £10,000, and the current interest rate is around 12.7 per cent, which represents about 1 per cent per month on a decreasing balance basis. There is no credit check carried out. Rather, local knowledge plays an important role. There is also very much a feeling that everyone deserves a new chance. Even, for example, if someone has been sequestrated in the past, there will still be a consideration as to whether a loan can in fact be made, albeit perhaps at a lower level than originally sought. The Benarty and Lochelli credit union has, in fact, proved very successful in terms of its approach to credit management, with bad debt amounting at the end of December 2018 to around £9,000, out of a loan balance of around £675,000. It has also been a trailblazer, as far as engagement with young people is concerned, for even before the roll-out by the Scottish Government of the very successful junior saver scheme. Can I just take this opportunity to welcome the cabinet secretary's announcement of additional funding of some £85,000? That will help to further extend the roll-out of the very successful scheme, but the Benarty and Lochelli credit union had established children's accounts earlier, indeed at Benarty primary school and St. Kenneth's primary school and Lochelli high school. It has also recently done the same with respect to St Pat's in Lochelli. In fact, in the local area, some children were already members as their grandparents had opened an account for them. Children can be saver members only, as it is not until they are 18 that they can borrow money. That focus, I believe, on young people is extremely important, as it encourages school pupils to get into the habit of saving and to understand the value of money.  I had the opportunity to have a chat with each of the founding members of the credit union about the work that they do, and I would wish to take this opportunity to thank them and their fellow board members and staff for all that they do to help the local community to thrive. Of course, that goes too for all those involved in the Kingdom Community Bank credit union. In bringing my remarks to a close, I would like to stress that, regardless of whatever perhaps could be viewed as the key inspiration in the early days of the credit union movement, the Benarty and Lochelli credit union is anything but a poor man's bank. Their membership includes all ages and all walks of life and about as many members are in employment as in retirement or unemployed. Of course, it has to be said that the impact of Westminster austerity on communities such as Benarty and Lochelli cannot be underestimated. Indeed, there is a facility for emergency loans from the credit union to help those who, for example, have had the safety net or social security simply removed from them. I would wish to commend the Benarty and Lochelli credit union for all that they do to help local people and to make their communities more resilient. They are indeed a shining example of people doing it for themselves and for community empowerment generally. In conclusion, I promised that I would make a plea today for people in Benarty and Lochelli to consider becoming members of the local credit union as new members are always welcome. I also promised to make a pitch for anyone in the area who may wish to get involved in the operation of the credit union to consider coming forward to sit on the board. For young or not so young, I would say that your community needs you. Close distraction and definition of a little extra time, but not too bad. Maurice Corry, to be followed by James Dornan and Mr Corry, please. Thank you, Deputy Presiding Officer. My apologies for having to leave before the end of this debate's conclusion, which I have had the mission to do so, as you are aware. It is indeed a pleasure to join this debate to celebrate the role of the credit unions in Scotland. The credit union movement in our country has been a growing force. Its development over the years has helped to contribute to our society and more specifically to our local communities. Today, about 100 credit unions operating in Scotland has already been mentioned. Those financial cooperatives, together serving over 400,000 Scots, offer loans and saving programmes to members who have a common bond, and anyone can pull their resources together and make loans to one another as part of a voluntary, co-operative structure, a simple yet impactive ideal. We are here today to appreciate the role of those credit unions in our communities, and I do so gladly. The value of those unions to society is most definitely worthy of note, and in particular we can all appreciate their nature to promote inclusion. Indeed, as referred to already, anyone can join a credit union as a member, no matter their shared bonds, such as the same local area, workplace, association or trade union. This bond is the true strength behind the credit union movement, and by encouraging its inclusivity, people across Scotland can support its financial services alongside each other whatever their circumstances. Credit unions are moulded by its own composition and members themselves. That means that, rather than having heavy focus on profit, the movement is instead a unique and strong service geared towards members. The fact that it is not only owned but influenced by its members means that this co-operative movement can advance its impact on local communities and its wide-reaching scope for financial assistance. As a credit union member, anyone can take control of their own finances. Surely, that shows that, by fuelling entrepreneurship, Scotland's track record of economic ventures that is rooted within the community continues to stand out. Through a local lens, more people are becoming active in the economy, which in turn has helped to build up areas in which economic activity has been hard to come by. That contributes towards a much-needed reduction in inequality across Scotland for those who are perhaps more vulnerable to financial debt, this office of security and an agency that is their own. The credit union movement encourages a broad scope for financial assistance. It offers a variety of savings accounts and affordable loans that suit individual needs. That means that members can choose what works for them. The benefits are obvious. With no third-party shareholders, members can enjoy competitive rates of interest on loans and savings accounts and also saving options. Personally, I have had the privilege of meeting with various local credit unions in my area and have witnessed what they do in my area of West Scotland. I see that the professionalism in which those credit unions are handled and performed daily highlights a social conscience at their core, which I am pleased to see local authorities that are a sport of. The security provided by the credit union movement is invaluable to its members. Through its provision of a wide range of loans and savings, people can make some financial control and take it and also be prepared against any unexpected loss. That security net is a major reason why credit union memberships have become more attractive. The regulation of those unions by the financial conduct authority and the potential regulation authority means that they are viable and credible. Money within the union is also protected by the financial services compensation scheme for up to £85,000 per member. That is equal to the protection offered by building societies and banks, but it is a more people-friendly co-operative. That security means that people are protected from the worries of being stuck in a myra financial debt, and it also guards them against predatory lenders, as we all know. The UK Government has also made moves to make stricter regulations on payday lending and target in legal lending, which is welcome. That helps to put the member's interests first and therefore awareness where such a great initiative is underpinned by security has helped to further develop. Surely that shows why credit unions movements deserve to be celebrated. Collaboration is at the heart of why those credit unions are gaining momentum in Scotland. Indeed, I am pleased to see co-operation continue between the Scottish Government and the financial sector. That will help to raise awareness of the movement and encourage more people in Scotland to become members. The UK Government has also made significant efforts to help to the expansion of credit union publicity. As a veteran, I am especially pleased to see the launch of an armed forces personnel credit union in 2015. Ex-servicemen and women can find it difficult to accrue a solid credit rating with frequent moves, and they can be targeted easily by payday loan groups. However, by having a viable and simple alternative to building societies and banks, armed forces personnel have the opportunity to make savings and find affordable loans to make life easier. In celebrating credit unions, I know that it is our shared hope of greater awareness of their benefit. The collaboration between the UK and Scottish Government has encouraged publicity of what the movement offers and the fact that there are £511 million in savings for Scottish members shows that we should promote the avenue of financial management. It is abundantly worthwhile. Not only does it help people, but it encourages to make better understanding of the best way to manage our money. While Scotland has a good track record of membership, it is more to be done to make it much higher. It truly makes us thriving economically active communities, and Scotland's credit union movement needs that awareness. To conclude, I welcome the appreciation of the credit unions today, and they place members at the centre and encourage an ethos of sustainability, inclusivity and security. I hope that the debate will encourage the profile of the movement's needs for its positive impact on communities, which is quite clear. I am delighted to take part in this debate for more than 20 years. People of Glasgow have, just like me, trusted in using the credit union to borrow, save and manage their money in a healthy fashion. They have always been a trusted financial organisation, known for always putting their members first. As has been said earlier on, we live in an era of payday lenders and fast money. When I get money from the credit union, and I do occasionally take it out, I usually use it for holidays or for doing something, an upgrade in the house or whatever, but the internet and TV and newspapers are flooded with adverts for loans to help people get by. I once recently read an article in the Guardian that indicated that 57 per cent of those who took out a payday loan used the money to pay for day-to-day items such as household bills, clothes and even food. With more and more people suffering under the current social security arrangements, it is no surprise that people take such desperate measures to get by, with the roll-out of universal credit. That is only due to get worse, but I will touch upon that later. However, those payday loans are a curse in many of my constituents, and the credit union is one real source of hope. The credit union and Casimol can my constituency is not just a financial hub, but it is also a cornerstone of the community. It is a safe, well-recognised organisation that provides valuable service to the community. The manager of the branch, Elizabeth, has herself been aware of and subsequently a member of credit unions for 43 years. Growing up in the east end of Glasgow, her parents were not just advocates for the work of the credit unions, but pioneers who fought to bring them to Scotland. Her passion is clear to all who meet her, because she really believes in the result that they get when assisting people with financial planning and, often at times, changing poor financial habits. The credit union does not just provide fantastic interest rates but also a real financial education to local people. For example, if you take out a loan, be it for personal purposes or to consolidate debt, on repayment, the member is also required to pay at least £10 per month to a savings account. That not only helps members to climb out of the horrendous debt to which they may have found themselves, but also can help the future need to avoid borrowing should the unexpected happen. It is amazing just how often the unexpected does occur for many of my constituents. As we discussed earlier, fast money is a real problem and can often plunge the most vulnerable in society into a financial black hole to which they feel they can never escape. We should be thankful that the credit unions across Scotland are providing a real financial alternative. It also gives a fantastic service to those members who are in the seat of a social security benefit. Elizabeth explained that, with the post office no longer able to assist as previously, much of their traditional role has fallen to them. So, with the agreement of the user, a portion of the benefit can be taken and used to pay back loans, another portion placed in member's savings and the rest allocated for daily living. Once again, teaching members how to prioritise any incoming money. This extra burden for credit unions at times can bring its own unique issues and requires a further commitment from staff to those most vulnerable. Elizabeth told me that many of our members have major problems with literacy and are unable to understand some basic forms not only presented by us but from the DWP. My staff are committed to our members and often spend hours at a time in the phone to the DWP on members' behalf to ensure that no stone is left unturned when it comes to an individual's financial situation. I am sure that you will all agree that this is customer service at its best. The Scottish Government's People Not Profit campaign was brilliant for raising awareness of the many services mentioned above. After the banks caused such financial turmoil across the UK, it is about time that we put people first. Unfortunately, even the credit unions can face real difficulties. The Bank of England has increased the credit union's capital adequacy from 1 per cent to 3 per cent, putting real pressure on many of the branches, including Casamalt, and that is why the Carnegie UK Trust's investment of £1 million will be most welcome. Sadly, financial pressures are not the only pressures being faced by staff. The roll-out of universal credit has been a real challenge. Elizabeth explains that, when a member's money is paid directly to a branch, it can be very difficult to establish who the recipient is. If it was not for her wonderful staff, it would be almost impossible to ensure that it was allocated properly. Recipients must bring proof. As we discussed earlier, if there are literacy issues, that can be a real problem to the many users. The roll-out of universal credit is having a catastrophic effect in areas such as Casamalt. We should all be thankful for the committed organisations who are trying to earn this to mitigate the worst of the impact that the coalface has had. It has been said many times that the only two certainties in life are death and taxes. Sadly, neither is a topic that brings much joy to the chamber, but I really want to make an important final point about another service provided by the credit unions. If you are over 65 and pass away with £5,000 or more in your savings, a credit union will double that when it is paid out to families. Alongside that, any debt held will be wiped out. That is an incredible insurance for members who would at times be unable to leave anything to grieving families, especially when life assurance is not a predominant financial priority. The credit union has been in my constituency for 29 years and has borrowed over £30 million to members. If that was loaned by even some of the more established loan companies, the people would have had to pay back over £300 million. So not only do credit unions employ local people and provide a face-to-face service in financial education, there is a real source of hope for many people hoping to escape from a financial cogmire. Finally, I wish to finish by thanking each and every staff member, volunteer and manager, within the credit union movement. I look forward to this Parliament, as has been shown today, and this Government continuing to support the invaluable work that it has done for many years to come. Thank you very much, Mr Dornan, and I call Kezia Dugdale to be followed by Angela Constance. Ms Dugdale, please. Thank you, Presiding Officer. If I can start by declaring a number of interests. I am a member of Capital Credit Union, a member of Castle Community Bank and as a co-op sponsored MSP, I believe fundamentally in co-operatives and in particular C credit unions, not just as some sort of cootie feel-good service, but as a serious mainstream alternative to a number of other financial options and institutions. When I was first elected as a fresh-faced and optimistic MSP, I set up a campaign called Debt Busters, which served three purposes. It sought to take on payday lenders street by street. It sought to improve debt relief mechanisms here in the Parliament, and it sought to promote the alternative, and that alternative was credit unions. When I reflect on that campaign five years on, I think that we did make substantial progress in some areas. One of the first things we did was take to the streets of Leith, and I did that with Councillor Gordon Monroe, where at the time there were no less than 11 payday lenders within two minutes' walk of the Kirk gate. There are now just three. We would set up street stalls in the high street, and we had a short costume to demonstrate the dangers of those lenders. I have to say that Councillor Gordon Monroe has faired far better than that short costume. It has five years on. We have made substantial progress there. Big companies such as Wonga, which were at the time charging 4,000 per cent APRs, are on the verge of bankruptcy and no longer offering the types of financial products that ruined people's lives back in the day. Our sites are now set on alternative financial services such as Brighthouse, which perhaps do not charge 4,000 APRs, but in charging 160 or 200 per cent APRs for white goods that cause families up and down the country tremendous amounts of debt pressure. The second aspect of the campaign was about improving debt relief. We made a lot of progress here in the Parliament about introducing fast-track DASSs, debt assistance schemes, to make sure that we would freeze people's interests and the debts that they had at the minute that they applied for assistance, rather than waiting to the point that they were at, the cusp of bankruptcy, to freeze that interest. I pay credit to the Government for listening to the campaign at that time and taking the advice of Mike Daley, who led the charge on behalf of the Government Law Centre. The third part of the campaign was about promoting that alternative and that alternative being credit unions. Although we have made some progress in that time, arguably nowhere near as much as we should have done, it is important to recognise that there are a multitude of different types of credit unions with objectives of their own that we need to respect. There are some credit unions that desperately want to offer an alternative to payday loans. The first credit union to do that was Blantyre credit union back in 2013. It had a product called the Swift 500, which allowed people to access up to £500 on the same day that it went into the credit union and got it. It did a really interesting bit of analysis of how that went. In the first year of that project, 2,900 people in the Blantyre area borrowed £500 from the credit union, rather than from Wonga. They were able to establish that that meant that they had saved £0.5 million in that community because of the difference in interest that was paid between the credit union and what they would have cost if they had gone to Wonga. That is £0.5 million back into that particular community that could be spent on local services and in the local economy. They were able to further demonstrate that, of that £500,000, £113,000 of it went back into the credit union in the form of savings. People were able, for the first time, to put money aside and guarantee themselves the financial security that was so often absent. We also need to recognise that some credit unions think that the whole concept of a payday loan is fundamentally wrong, that it is unsustainable and that they do not want to offer those products. We should not ask them to, because they do not have to do that. In whatever support we have and we offer credit unions, we need to recognise their right to operate in the ways that they want to that reflect their local circumstances. One of the other major changes that has happened in that time is the amount of money that credit unions have had access to to develop and advance their IT capability. Credit unions needed the ability to have online banking facilities to appeal to the types of people that should be using credit unions as a service. I think that there was something like £33 million provided by the UK Government to make sure that credit unions had access to that IT capability. However, the very minute that they had that capability, the financial sector moved on in the way that we banked moved on. I think that very few people in this room would say that they signed on to a desktop computer to look at their online bank account. They are far more likely to do that on their mobile phone. Credit unions are miles behind high street banks in terms of having mobile phone technology. Consistently, credit unions are behind the curve when it comes to this technological advance, and of course they are, because they do not have the capacity of the high street banks to invest the development money into things like this, which is where the Government here in Scotland and the UK Government can step in and assist. I encourage them to do more of that. There are, of course, other high street issues. I think that we could do a lot more to help credit unions to establish a presence on the high street. I mentioned the Kirkgate and Leith when we were campaigning there five years ago. There were numerous high street banks that are no longer there and have closed since. However, I am delighted to see Castle Community Bank set up an office on the Leith high street that was opened by Angela Constance and Michael Sheen in her capacity as Cabinet Secretary not so long ago. Equally, when TSB and the Bank of Scotland closed in Craig Miller, Castle Community Bank moved in and they have a premise opposite the neighbourhood centre where most people would go to access council services. However, I think that more credit unions could do that if they had the assistance from the local authority and, indeed, the Government to do that. That could mean rent reductions, it could mean rates relief, it could mean so many other things. I appreciate that my time is running out, Presiding Officer, but if I could say to the Cabinet Secretary, her and I are of similar ages and I hope therefore that she remembers Super Squirrel, which was an initiative of the Bank of Scotland where you got lots of cuddly toys and money in your account if you opened up a savings account as a kid with the Bank of Scotland. That is the type of thing that we should be enabling credit unions to do and that is why Labour is so keen to see the Scottish Government put some financial resource behind setting up and opening credit union accounts for young people so that they learn at an early age that they can and should save for their mutual benefit. I will close there, Presiding Officer, but as long as we continue to have that vision of credit unions as a mainstream alternative to high-street banks, we should share that ambition with the resources that we put into achieving that goal. Thank you. I am advised that you actually got a squirrel. I did not know that. I am advised that the already seemed to know all about it, and convened by Jenny Balford. Given that this week has been dominated by all things Brexit, it is an uplifting opportunity to be able to participate in a debate that celebrates the achievements of the credit union and I remember the day after the EU referendum when I was thoroughly depressed and wanted to greet among other things but I had to get up out of my bed because I was due to attend an event organised by West Lothian Credit union who were celebrating the significant milestone that they had reached of lending out £10 million to the West Lothian community and Over 20-year history today, West Lothian credit union has lent out £13 million to the West Lothian community, and they have to be congratulated for that. The community currently has £350 million out-on-lone to the US credit union when it considers Scotland's 90-plus credit unions. Felly, rydw i, y Fawr Fawr Fawr Fawr Fawr Fawr fawr, ond ganwch i'r gwaith i ddweud angen i ddweud y cyfle a'r potensiwch i ddweud i ddweud eich gael y ddweud. Felly, mae'r Cymru gweld yw oedd y fawr fawr fawr yn yw ddweud y fawr oedd y fawr.   Byb yw'r gwneud erbyn nhw, hen armych graff methu ni'r hollol fod y ddioedd o rhan yn блuddiann Gymru and that people pay off high-charging payday lenders or overdraft. Given the contribution that credit unions make, our core focus should be on supporting credit unions to grow their membership. We have heard from the cabinet secretary that, because membership is based on the common bond, every resident in Scotland would qualify to join at least one credit Felly, yn yr unig yw'r wallet o'ch ffordd o'ch ei fodw'r argyn discordd iaid i'n tystiaeth fyddai ein bod yn cael ei fodfyn yn ei ffr sistiwch teimlo. Beithaeth o'r po Ges â'i dechydig y Llywodraeth Cymru yn ein gŵr.  Rydw i wedi cael ei bwysigol yn ei ddau anoddol yn bwysigol ar gyferiaid anodd yr anodd yn bwysigol, a bobl chi'n iawn iddyn nhw i gael arall. Ie, oedd oedd gan eich gweith ei gael ag i gael ar yr anodd, banking! Therefore, mwy o'r ddigwydd o ddigwydd i'r ddweud o bandwyr pwysigol, a ddigwydd o'i ddweud i'r ddweud o ddweud oughta. Felly, ddawn i ddweud hynny, gyda'n cael ei dderwydd, chi'n rwyaf am기 longestiwn, mae'n gwaith oedden nhw'n gwneud y greu ffiyles yng ngytaeth o'r myflaen sydd yn gweithio fel oeddeu i ddweud o ddweud i'r ddweud o bandwyr pwysigol, rwy o'r pwysigol, private sector, and also the third sector. Secondly, Cabinet Secretary should be commended for the credit union awareness campaign. It is very important to get across that credit unions are for everyone and they are not just the poor man's bank. I think that in our consumer savvy society that if more people knew that deposits in credit unions are protected up to £8,000 to £8,000 per person under the financial services compensation scheme, it is exactly the same protection that is available to deposits in banks and building societies that more people from all walks of life would join. Thirdly, I think that the issue of supporting capacity in the credit unions, as Kezia Dugdale has intimated, for example, through technology and capital investment, is crucially important. I will acknowledge the work that the Government is undertaking in partnership with the Carnegie Trust in this regard. However, we have another opportunity to strengthen the movement by enabling credit unions to access financial transactions. That is an issue that I have raised directly with the finance secretary when he was at the economy committee and I have since written to him and other ministers in detail. The Welsh Government uses financial transactions to help credit unions to boost their regulatory reserves. However, there would be other potential uses of financial transactions, too. The Welsh Government has earmacked a modest amount of financial transactions—a million pounds over two years—specifically for credit unions and, in this instance, for loans. I really hope that the cabinet secretary will explore that potential with the finance secretary, too. Given that credit unions are also referenced in the tackling child poverty delivery plan, every child, every chance, Mr Mackay said that he would give the matter some consideration. I hope that Ms Campbell will also go and annoy him in the same way that I have. To conclude, I want to make a heartfelt contribution and pay tribute to the West Lothian credit union and the other credit unions, the Length and Bread of Scotland, that work day and day out to make Scotland fairer. Jeremy Balford, followed by Bill Kidd. I thank the Government for winning this debate forward. It is a pleasure to follow two other Lothian MSPs. It shows the quality of Lothian that we have three speakers in a row speaking in this debate. I think that there is consensus in this debate. Obviously, coming slightly later on, it is sometimes difficult to find new points to make. However, it is worth spending some time talking about, reflecting on and seeing how we can do things better. Last year, I had the privilege to travel to Rwanda, where credit union banks are starting to be based in the local community to allow people to save and then borrow, as they can do here in Scotland and the rest of the United Kingdom. I think that there is support for the way forward from both the UK and the Scottish Government. I agree with other speakers that we should not be limiting our ambition. We are doing well compared to England. We have a way to go in regard to Northern Ireland. We should be setting our sights high and encouraging people from different backgrounds with different needs to be putting money into those types of banking. If I can just focus in on order and disabled people for a few moments, because we have heard talk of younger people and people who come from other backgrounds, there is a real benefit in that type of banking for those of us who are older and disabled. I had the privilege a couple of weeks ago of visiting Age Scotland to talk to them about some of the issues that their members are facing. I was slightly shocked to find that I am now in the age range of Age Scotland. However, one of the first advances that we get is that it is a safe alternative to other types of banking. Age Scotland and Age UK have run a campaign over a number of years in regard to financial scams that often affect older people in Scotland. The security of a different type of banking allows older people to know that their money is safe, as the previous speaker has talked about, and that there is a guarantee that their money is safe up to a fairly high amount. The second advance is that, as previous speakers have spoken about, it is a good way around fair loans. The loans that people will give are monitored and looked at are community-based, and you can pay back that amount of money in smaller amounts over a period of time. If I can reflect back on my experience in the Wanda, that is one of the major advances that they find. Local communities, often people who do not have a lot, are able to put a little in every week or every month. When they want to start a business or expand their business, they can get loans that can be afforded and can then be repaid back. The third advantage that these types of bankers have—and it is almost the opposite of what Kezia Dugdale said—it is almost not a contradiction, but perhaps it reflects on something slightly different—is that a lot of them, or most banks, do not have internet banking. Again, for those with disability or those who are older, that can be an advantage. I am afraid that I have got to that age that I do not like internet banking. I still like going in and to see the eyeballs of a bank's individual. That is an advantage. If we look at the 2016 survey, 67 per cent of older people still do not have internet access in their homes or find it easy to find. Many older people want to go in for the sociability, for the security, into a bank and be able to do the transactions face to face. I can understand Kezia Dugdale's comments about seeking to expand it onto iPhones and onto it, but we also have to make sure that the local bank that is in a local community but that people can walk to and benefit from is kept at the same time to allow and make sure that economies, so that people that want different styles, get absolutely. Kezia Dugdale's point of view, I want to emphasise that I agree wholeheartedly with the point that he is making. Given that he would like to seek credit unions set up on high streets, whether he would agree with Labour that we could do more to support them in doing that by perhaps offering rates relief or reduced rents in order to allow something that cannot automatically compete with high-stield banks to do so in this way. Jeremy Balfour It is absolutely something that we should look at, particularly in communities where banks are leaving. Across the chamber, we have all been faced with in our local communities of perhaps the bigger banks closing and leaving nobody there. It can be an alternative, or not even an alternative, it can be a competition to the mainstream banks. We should encourage that and look at ways of doing that. If I can conclude, for Fanken, the Government for this debate, I think that both the UK and Scottish Government are working well on this together. I would encourage that to continue. We need to make sure that we protect vulnerable people so that they can feel safe from their doing with Fanken. Bill Kidd, followed by Johann Lamont Thank you, Presiding Officer. The topic of this debate, the role of credit unions within local economies and their capacity to help communities, is something that really does deserve discussion here in the Scottish Parliament. Engaging in this debate requires us to look at the mechanics of the Scottish economy and whether those work in practice for the people of Scotland. I have got a conviction that a strong economy is not marked by GDP alone. Rather, a strong Scottish economy is one where our neighbours are able to afford food, housing, energy, childcare and all financial fundamentals required to get through day-to-day life. That means not having to rely on payday lenders nor does it mean being trapped in a cycle of debt. Good governance equates to policies that reduce inequality and therefore lead to a stronger Scottish economy and stronger Scottish communities, and that is my belief. I believe that the Scottish Government's promotion of competitive and responsible lending through credit unions is a frying example of that. How do credit unions make a difference to the people of Scotland and why is that a relevant issue today? Credit unions, as has been touched on by many who have spoken before me, are community-based organisations that offer membership to people who share something in common. That could be the area that you live in, the industry that you work in or being a member of a trade union. One example from my Glasgow Anisland constituency is from Chapel Credit Union, which next year celebrates serving communities in the west of Glasgow for 50 years. Credit unions are not for profit organisations that offer financial products and follow strong guiding principles of responsible lending. They offer loans, cash izes and current accounts, among other products, for loans that are capped at an APR of roughly 42.6 per cent, however, more often than not, they lend at a lower rate than this, compared to payday lenders who are capped at 1,500 per cent APR. That is obviously significantly better. However, constituents may find that banks often offer loans on 3 per cent APR for those but only for those who, first of all, qualify for an account. APR is the real amount that you will have to pay, including the compound interest and any additional costs that have been accrued over the year. It is very important that people making a credit application consider that cost. It is essential that people find the most competitive rate of APR available to them and only seek out credit where they can afford to pay it back, and that is where credit unions come in. For those who are not able to access the headline rates of products offered by high street lenders like the banks, credit unions may be able to offer a competitive loan. Responsible and fair credit lending is the most crucial thing here. Before applying for a loan, credit unions, as is in the case in my constituency, will often require members to save first. Why is all of this so relevant today? In 2016, the money advice service found that four in 10 adults across the UK did not have £500 on more in savings. That £500 is a crucial amount that is often called buffer savings. Although it is not always possible that working towards having £500 saved can make the difference of being able to afford unexpected expenses, credit unions can offer a good and supported way for people to build up the amount of savings. Saving £42 a month would give you a savings buffer of £500 within a year. However, the reality is that reaching this is difficult for many people. In 2016, MassCatchee produced research indicating that 48.4 per cent of adults in Scotland have less than £100 in savings. That is almost half the people of Scotland. In this circumstance, any small amount, even £5 or £10 a month, put into a regular savings account will make a difference over time. It is important to mention that free advice that is available from debt charity step change is one debt charity that works in Scotland to provide free debt advice to anyone who needs it. I would recommend that anyone struggling with debt speak to debt step change or another approved debt charity as soon as possible. They can either help you to consolidate your jets or arrange an affordable payment plan. Those plans often freeze any interest on debt. People with less than £100 or £500 in savings may have to seek out credit to pay for unforeseen and unavoidable costs. In this context, credit unions are much safer and fairer alternative to payday lenders. Due to their onus unresponsible lending, they can provide credit and often give support that helps to avoid creating a cycle of debt. I would like to end by reiterating the importance of safe and fair alternatives for people seeking out credit who are not able to access high street offers. Those must be competitive and they must be responsible. When we see not only debt being reduced but individuals being able to accumulate money that is set aside to help in times of emergency or cash flows or just day-to-day living, we will see a fairer society. The role of credit unions is providing a viable and fairer alternative to payday lenders and it is vital to many. I thank them for their current approach and its consistency in this effort and for their positive impact on our many constituents' lives right across Scotland. I am grateful for the opportunity to contribute to this debate. I should declare an interest as a co-operative MSP. The Scottish Co-op party is committed to building support for and is sustaining co-operative initiatives in the economy, education, public services and in our communities. I am proud of the role of credit unions in supporting individuals and families, the work of volunteers who make real every day their commitment to changing lives and the pioneering and creative work of credit unions across Scotland and internationally. Initiatives are not decided by government but are imagined and created by a movement with a proud history and as relevant today as ever it was. The debate might be consensual but we make a mistake if we imagine that the credit union movement is cosy or comfortable. Credit unions have challenged and continue to challenge what may be perceived as the normal way of doing things, a normal that has too often been predatory, exploitative of vulnerable people and working from a business model that relies on encouraging people to make financial decisions that are against their own interests. We need to ensure that we do all that we can to support credit unions to offer a genuine alternative to those dubious practices. Any study of the work of credit unions reveal ambition, pioneering approaches on saving, reliable borrowing and budgeting, increasing financial confidence. I have been privileged to see the work of credit unions across Glasgow and I am in awe of their collective energy. The example of Pollock credit union is instructive. It saw huge growth when it was given the opportunity to be located in Pollock shopping centre. There is visibility. The fact that it looked like a bank premises is accessibility gave increasing numbers of people the confidence to become members. I would ask the Scottish Government how it might consider, through reduced rents and rates relief, how we might see more credit unions visible on our high streets and how public buildings, community centres, police stations and housing offices, for example, might host credit unions in order to increase customer access and reach. That matters more broadly.  I am proud of Labour's record and power in supporting credit unions, building capacity at a local level, allowing a greater range of services to be developed. I would urge the Scottish Government to endorse, in full, the Association of British Credit Unions Charter, a credit union nation, as a means of building on the work that has gone before. We should support credit unions in being able to deliver more banking services, and I think that the points made by my colleague Kez Dugdale in that regard are critical. We need to give them the means to deliver those services in the modern world. It is essential that there is continuing education on the role of credit unions. I welcome the payroll initiative in our own amendment, and indeed it was an early decision in the Scottish Parliament that meant that I have a credit union bank account from which my salary goes into every month. I note the initiatives to give young people credit union accounts. In terms of the Parliament's system, do you have a choice as to which credit union that goes into? I do not know whether there is a choice. Initially, there was a partnership with Capital Credit Union, which might be something that colleagues might want to look at. However, it was a very important initiative at the time, signalling the importance of credit unions, not just to people in impoverished and disadvantaged communities, but to people in work. I note the initiatives to support young people, giving them credit union accounts, but I exercise some concern about the impact of local authority cuts on budgets and the capacity of local authorities to continue those kinds of initiatives. I hope that the Government would reflect on that. There is no doubt that learning early about savings and financial awareness reduces the capacity of exploitative financial offers to be accepted. I would like to make the broader point on education on the co-operative model, as an important, not marginal part of the economic landscape. It cannot be right that a student of economics can go through school, college and university without being taught about the co-operative economic model. In conclusion, I seek a commitment from the cabinet secretary to be open-minded and inquiring about some of the barriers to sustainability and development that credit unions have identified. We have heard of some of them in the debate already. As an example, credit unions highlighted their concerns at a recent cross-party group on credit unions meetings about the impact of the current procedures around debt arrangement schemes and debt management initiatives, and the way in which credit unions can be excluded from consultation on debt plans with massive consequences for them, which would be worrying in the longer term. I would be grateful if the cabinet secretary could confirm her willingness to meet with credit unions, perhaps along with the cross-party group, to discuss this very important issue. It is, of course, great to recognise, celebrate and applaud credit unions, but it is also a good time to take stock and ensure that we do all that we can to harness their huge potential to serve the people of Scotland and to ensure that our young people understand exactly what they are doing in a world where too often the business model creates exploitation rather than a safe place for young people and others to save. David Torrance, followed by Tom Mason. I would like to welcome the Government's motion, and the valuable role that credit unions play in all our constituencies. As we have heard, credit union membership in Scotland is growing. There are 94 credit unions and almost 330,000 members, which means that 7.3 per cent of the Scottish population is enrolled in a credit union. In Fife, we are extremely fortunate to have a volunteer-led kingdom credit union, who believe in the deliverance of a fair of Fife, a Fife where all residents have a capability to live good lives, make choices and reach your full potential and where all the children are safe, happy and healthy. With a number of collection points across Fife, we ensure that our service can be easily accessed by everyone, particularly those who may not have access to a traditional bank account and therefore have limited choices when it comes to borrowing. During a recent visit to a local credit union in the links area of Kirkcaldy, I sat and spoke with volunteers and some of their clients and heard the extremely moving story of one of the team binding motivation for ensuring everyone in the community, no matter what their financial position, had access to affordable credit. I heard her some several years ago, a well-known and well-respected man in the local area found himself in short-term financial difficulty and, in desperation, approached a loan shark. The amount that he borrowed was only £10, but it was to have devastating consequences. One week later, when he found himself unable to repay the full £10, it was doubled to 20 by an scrupulous lender. The next week it was increased again and so on and so on, trapping the gentleman in a cycle of debt but continued to escalate over which he had no control and no way of escaping. He was trapped and could see no way out. The level of debt had become so high that, despite his best efforts, he was facing a monk that he would never be able to settle. At first the pressure to pay and the threats which may happen if he didn't were solely directed to him, but this behaviour soon escalated and included his wife. When the most imaginable thing for a parent happened, his children became the victims of taunts, intimidation and violence in the playground and out in the streets. This family felt so fearful but, in the middle of the night, they packed up two suitcases and left. They left behind their home and their belongings. They left behind their friends. They left behind the community they had been born and bred in. They left because of £10. I heard how it was at this moment that they vowed to make sure that no one else in this tight-knit community ever found themselves trapped in such a desperate situation. A campaign and fight took several years but two years ago their determination saw their wish become reality. In these two years, since its inception, over 500 people were from the local community and have become members and regularly benefit from the services provided. In the community with a population of 3,000, this is highly impressive and illustrates just how quickly has become an integral part of the neighbourhood. Talking with them is clear to see why the community, the credit union, has become so popular as it was well used because it was run by a small team of volunteers who live locally and the enormous level of its trust exists between them and their clients. The trust not only encourages membership but gives individuals the confidence to speak open and freely and enabling the right support and advice to be given. In a time when many towns have suffered from bank closures and withdrawal of face-to-face services from local communities all across Scotland, the services provided by credit unions have never been more important for the most vulnerable in our communities when it comes to discussing financial matters and the importance of personal engagement and face-to-face contact cannot be overstated. Several other clients I spoke to have highlighted the vital life-round provided by a credit union during the recent times caused by universal credit. As we all know, thousands of families across Scotland have been left with no income for many weeks, and I fear that many more families in my constituency would be facing even greater hardship if it was not for the help and advice from financial support provided by a credit union, how many children have gone without food, heat or necessary clothing, how many parents would have found themselves dragged into a manageable situation due to having no other option than to borrow from a scrupulous lender or access alternative credit and end up paying excessive rates of interest on loans. An important function of the credit union, along with many others, is given advice, from budgeting to implications of borrowing. By being proactive and educating, we encourage members to budget and to consider setting up saving plans. Theory needs to individuals needs with members able to choose how much or how little they want to save. Those small changes can often build a level of stability that can make a hugely positive difference and affect their life. Figures from the Scottish household service show that 9 per cent of owners' occupiers report having no savings, while 49 per cent of socially rented households report having no savings. Those are the people who are far more likely to be dependent on credit, and with access to affordable credit, they can often find themselves in a spiral of uncontrollable debt, which can often lead to far more serious problems. Those in our communities without financial resilience to have stand any unexpected event, be it a major repair in their household or a change to Bennett, should not be penalised. Lastly, I would like to highlight the recent announcement from NHS Fife that a staff will now have the opportunity to become members of the NHS credit union. Founded 20 years ago, the NHS credit union has gone from strength to strength and currently offers a wide range of financial services to more than 17,500 NHS employees and family members. I believe that in the coming weeks there will be a number of road shows held across Fife, which will give the staff the opportunity to learn more about the services provided and the benefits of becoming a member. It will encourage staff to head along to one and find out more. In conclusion, Scotland's credit unions have a vulnerable role throughout Scotland and are very much welcome to the people's not-profit campaign and continue investment in the credit union sector to ensure a fair and accessible provision to financial services and products to every single person in Scotland. Therefore, by protecting those in our communities who are financially disadvantaged from predatory lenders and unmanaged for debt, it is vital that we continue to support the development and growth of credit unions in Scotland. I would also like to offer my thanks to all the volunteers that support the credit unions within my constituency who give up their valuable time to provide their expertise and experience for the benefit of local communities. Thank you, Presiding Officer. Long time ago, before the world was round, I was a junior engineer on a construction site and I had to borrow from the box and make contributions to the box. I never understood quite what it was, but laterally I learned it was the beginnings of a credit union in the very crude forms they were then. I am also sure that in this chamber there are more people who have knowledge of credit details of credit unions than I do. I do recognise across the country that not just as a viable alternative to the payday loan culture, credit unions are recognised across the country not just as a viable alternative to payday loan culture that has regrettably expanded to recent years but as an ethical low interest source of finance for those who may have found avenues close to them. Around one in 13 people in Scotland are involved in credit unions and we can see that more than 20 per cent of all credit unions in the UK are Scottish. This is, I think, a ringing endorsement of the relevance and performance today. Fundamentally, this is down to the excellent level of service and credit unions can provide whether it is saving for a car, a wedding or even buying a house. These community organisations can always help. The importance of these services is even more so when we consider the context of the wider financial inclusion. One of the key problems for the people, particularly on lower incomes, can be meeting the criteria and conditions for a bank loan. Often banks simply do not take the risk or when they do they can set much higher interest rates. And if somebody is rejected for a bank loan, the alternatives are even more unpalatable. Payday lending with which members will be familiar can charge APR percentage rates well into the thousands and leaving the cost of important projects painfully high. So when the credit unions can offer loans at rates between two and three per cent per month, it is clear that clients that might be seen as a risky financial profile get a much better deal for living on greater financial inclusion across Scotland. As far as my own region goes, we are lucky to have a number of different credit unions providing for local people. In Aberdeen, for example, we have a cramp in credit union and a St Marker credit union providing for people with a stake in the development of their local communities. Most importantly, we must make it a priority to widen access to the credit unions, ensuring that people across the country in every walk of life know that they have opportunity to be members and use their services, not just through workplaces or trade unions, but any organisation that is available to them. To that end, I am pleased that credit unions have been recognised and supported by initiatives both here in Hollywood and by the UK Government. The department of work and pension set up the credit union expansion project in 2013 with a £38 million investment with the aim of increasing the availability of financial services to those on lower incomes. In this part of the Scottish Government introduced a working group on credit unions in 2014, whose 2016 report, Investing in our Future, set out a number of recommendations to help development throughout the sector in the years ahead. That is the work that has been in continued with the People Not Profit initiative, launched by ministers towards the end of last year. That is welcome. I look forward to seeing those efforts come to fruition. As we welcome the effort going forward, it is important to compare where we are now with goals set previously. In many ways, good progress is made. I am pleased that the membership of the credit union is steadily increasing. Proportionally, more people in Scotland are members of the credit unions than there are anywhere else in the UK, and we should build on that. However, the schedule needs much more. If we lag behind Northern Ireland, for instance, in the portion of total UK lending, I note that the concern comments from the Association of British Credit Unions that the range of services that can be provided is currently restricted, and that membership, although it is above the UK average, is still relatively low. It is without mentioning the example set by the United States where 44 per cent of economically active people are members. It should just go to show the benefits of credit unions being an institutional norm rather than a last resort for some. That is where we are, Presiding Officer. We have, I think, support across Parliament for the important role of credit unions in improving financial inclusion, as well as the political will to see changes made where they need to be in order to meet the goals. Credit unions do a great work among our communities, our church groups, our workplaces, and many more places. They play a vital role in the path to better financial inclusion across the country and deliver a sustainable financial option for those who may struggle to find them at a reasonable cost elsewhere. I welcome the progress that we have already made and look forward to seeing further such developments in the weeks and months to come, so that a common bond of credit union can be extended to more of those who need it. In closing, Presiding Officer, I think that we must remember Henry Duncan, born in 1774 in Dumfries, who was the founder of the Savings Bank movement, which we have not had a mention of as yet, so I do so now. Willie Coffey, followed by Ruth Maguire. Thanks very much, Presiding Officer. I am genuinely pleased to be able to speak in the debate, even near the end, when quite a lot of the ground has already been covered by other colleagues. It does not matter, because I have a lot of affection for credit unions and the staff who are committed to working in them and supporting them. They help to deliver much-needed financial services to many people in Scotland who may otherwise be rejected by banks and other lenders, and who may be tempted to turn to easy cash lending sources with high interest repayments, or even worse to loan sharks with all the dangers that they bring. Of course, our credit unions are examples of financial co-operatives. Members owned on a not-for-profit basis, and it would be remiss of me not to remind the chamber about the origins of the co-operative movement, the first recorded being in the wonderful village of Finick in Ayrshire in 1761. The Finick Weaver Society is considered to be the earliest known co-operative in the world where there are full details and records. Their foundation charter was dated March 14, 1761, and established a society to support each other, secure the future of their trade, and to ensure a fair price for their work. It was a challenging period for the Weavers, with many pressures on them to lower their prices. Inspectors were employed to check on their quality and prices, and it could seriously damage the reputation of their village if they fell foul of those people. The society was formed in the sanctuary of the local church to ensure a certain degree of privacy and freedom to organise. They agreed that they would be honest and faithful to one another, setting prices that were no higher or lower than the other towns and parishes in the area. Members paid £2.6 or £12.5 to join, and the money was to be used for the good of the society, and regular contributions were made to the local poor fund from those shared investments. People could also borrow from the funds at a fixed rate of interest, and the records demonstrate that clearly. The basic principles of a credit union established in Scotland in Finick in 1761, only two years after Burns was born, just down the road in Allaway. The Weavers expanded to trading food and books, and a library was established in the village to a proud history indeed, and one that the children in the village learn about and celebrate with pride. Fast forward to today, 258 years later, and we still see those same basic principles being observed on a daily basis in the credit union office that you might happen to visit. I pass by my own credit union in Kilmarnock on a near-daily basis, which I have been a member of now for about eight years or so, and I can attest to the dedicated service given by the staff there to everyone who comes in for advice and support. You can just tell that there is something different going on in there. You have people who are genuinely committed to helping people out to try and find a way to say yes to applications rather than trotting out 100 reasons to say no, as many other lending institutions did in recent years. It is encouraging to read some of the stats that have been shared by members that shows that Scotland has a healthy membership of about 400,000. Much higher than England in Wales, I know, has been said, but way behind Ireland with about three million or so members. We need to aspire to those heights in Scotland, too. More members are always welcome to join their credit unions, and I encourage all our MSPs to back their local credit unions and open an account. Wouldn't it be great if every member of this Parliament was a member of a credit union? What a message that would send out, so here is hoping. It was good to hear about the People Not Profit campaign that was launched last year by the Scottish Government to promote the benefits of joining a credit union, giving people information about how and where to join, and probably also helping to modernise the image that the credit unions have had in recent years. I know that some would prefer them to be rebadged as community banks, and Alex Rowley mentioned that, and I quite like that term, but that is probably an issue for another day. The junior savers scheme has also been mentioned by some of the members, which helps to introduce our younger youngsters to the ideas of saving and budgeting, and it has seen another 47 new savings scheme to emerge in schools across the country. Thirdly, the £1 million match that is funded by the Scottish Government that has accompanied the Carnegie Trust's £1 million affordable credit fund has done a lot, I think, to help people to access credit, who otherwise would not be able to obtain any financial assistance at all due to their circumstances. In the last few days, we received a briefing from Lloyd's, and it was interesting, too, because we can see that they also value their association with credit unions in Scotland, and the financial support that they have given to many credit unions is substantial indeed. We have a lot to be proud of in exemplifying the great work that is done by our credit unions in Scotland. We have a wonderful history to share with the world, and the origins of this proud movement being so directly connected with Finnack in my constituency is a constant source of pride for the people of the village, and hopefully for us, too. May our credit unions continue to flourish and go from strength to strength, and could I once again ask all our MSPs who have not yet opened a credit union account to do so as soon as they can? They will be welcomed with open arms, and their savings will be put to great use for those in their communities who need our help most. The last of the open debate contributions is from Ruth Maguire. I am happy to join members across the chamber in celebrating the vital part that credit unions play in reducing inequality in Scotland by offering affordable loans and savings right at the heart of our communities. The role of credit unions in reducing poverty and the impact of financial worries is well recognised and has been described in reports by organisations such as the Joseph Rowntree Foundation and the Social Market Foundation. Owned and controlled by members and with membership based on a common bond, credit unions are underpinned by the co-operative ethos of people helping people, and are committed to maximising the quality of service that is provided to members, not to the extent of profit that is provided to shareholders. As well as providing affordable loans with fairer conditions and longer repayment terms than payday lenders, credit unions also empower communities and encourage individual entrepreneurship. Indeed, they can often be termed community banks, a description that can well reflect their nature and their purpose. First Alliance credit union, based on co-winning in my constituency, is certainly at the heart of our community. Since 2014, First Alliance have provided over 21,000 loans totaling around £17 million. Most of that money is retained in our local community. They have given me some recent figures. Between October and December of last year, they gave out 830 loans, 30 per cent of which were given to people who would normally use high-cost lenders. Interestingly, 80 per cent of those loans went to folk under the age of 55 years old. When the Royal Bank of Scotland, the last bank in co-winning, closed, First Alliance stepped up to reassure folk and to provide services to local people and businesses. I think that credit unions, as well as being a good alternative to some of those other institutions, provide a good service. It is not just for, as people say, folk on low incomes. They can also be great for people who want to make an ethical choice about where they put their own money. I have spoken before in the chamber about the work that First Alliance undertook to deal with some of the challenges that were presented by welfare reform. They worked in partnership with North Ayrshire and South Ayrshire Council and Sixth of our social landlords, which the credit union has a trusted partner status. That means that the services of the credit union can be used to help tenants who are in a rears or facing eviction. Currently, they are also involved in an important partnership, better off North Ayrshire, a service for people who live in the area, which is funded by the European social fund and the big lottery. Better off helps showing people the benefits that are entitled to, gives them assistance to apply online, also provides information on how to find and apply for jobs. Because the scheme aims to make sure that those needing help and advice are not passed around, the partnership element is crucial. The credit union has employed a case worker who offers holistic advice to those who are in contact with, for example, with energy advice and housing advocacy. The product that they offer as part of better off North Ayrshire is a loan for loan parents or the unemployed or those on a lower income who are looking to build a good credit history. First Alliance recently gave a presentation to the Scottish Parliament's cross-party working group, as the cabinet secretary mentioned. On that evening, we also heard from East Colbride's credit union in your constituency about their home start scheme, which aims to assist first-time buyers on to the property ladder. That scheme works in partnership with an independent financial advisor and requires participants to save for a set period of time before helping them with a loan for a deposit. Those are just two examples. We have heard lots this afternoon of partnership working in an ethical manner to benefit people in our communities. We also heard about the People Not Profit campaign that was launched in November last year, raising awareness of the benefits of joining a credit union and doing that nationwide. As convener of the cross-party group on credit unions, I can testify to the collaborative approach that was taken to the development of the campaign, as well as all the focus work and other things that went on outside. The views and feedback from members of the cross-party group were reflected in the campaign over a couple of sessions here in the Parliament. I would ask the cabinet secretary in considering the work going forward to further that campaign. One of the ideas that was mooted was that some of the materials would be available for credit unions themselves to use and perhaps have many campaigns locally. I wonder if you would be able to comment on that. That would be helpful. In closing, I would say that Scotland's credit union movement has been providing vital financial services to our communities for over 45 years. I know that with continued support from across political divides, it will continue to do so for many more years. I encourage members who have spoken so passionately about their local credit unions and the wider credit union movement today to join us at the cross-party group and consider taking some of that supportive work forward. To any local credit unions watching, give your local MSPs a nudge to join us. I want to begin like others by declaring an interest. A member of Blackburn and Seafield credit union advised that my mum is also a volunteer with the organisation. I also apologise to the minister for missing part of her opening speech. A lot of us see credit unions as one of the great untapped resources in the country. Many of us and people who have expressed that today could see them playing a much more significant role in our communities and in our constituencies if they had the right support. They are tremendous organisations that provide an ethical, responsible and sustainable alternative to the big banks who, as we have seen time and time again over the past decade or so, consistently rip off their customers and have been repeatedly fined by regulators, have closed branches across the length and breadth of the country and have made many, many staff redundant. That financial model, the model of banking, has been discredited. It is time that we looked at other alternative models and took them very seriously. That is the plea that many people have made today. The comment that they are not cootie organisations is absolutely spot on. They are very credible community assets. I believe that there is a moral duty on public policy makers to help to develop that credible alternative model of personal financial management. That promotes not just financial wellbeing and inclusion but prevents people from being exploited by some of the worst aspects of the financial sector. Those payday lenders are thankfully some of them who have gone out of business but some of them are still here raking in profits. It also takes people away from some of the high street banks who again charge very high rates for their loans. Like Angela Constance, I have worked closely with the local credit unions in West Lothian to identify some of the key issues that they face today. Some people have raised some of them but they are more that I would like to raise. They are very specific issues that they have asked me to raise and issues that would help them grow their business, that would help them thrive and ultimately help more of their constituents. I would appreciate if the minister could address some of those points and wind them up or indeed write to me with the details if she does not have the information. I am advised that many credit unions have difficulty acquiring their own sort code. That appears to be a luxury reserve for the big banks. That would allow them to bank salaries or act as a current account. At present, members do not have a choice but to have a current account from a bank or building society. That issue needs to be addressed. I think that they believe that their membership could expand and savers have a greater choice outwith the big banks if that could happen. A number of members have mentioned the issue of credit union access in the Parliament itself, which is a very good thing. My understanding is that employees can save via credit union through payroll, but staff can only go through one credit union designated by Parliament. They should be able to choose to save with other credit unions, particularly the ones in their constituency and in their regions. I hope that the powers that be are listening to that. We should also lead by example when both the Government and the Parliament could include a clause in procurement contracts to ensure that every contractor appointed by the Parliament or the Government must ensure that employees have a payroll option to save through a credit union. I hope that the minister, if I can distract her for a second, will investigate whether there is an option through public procurement if we are given out contracts that companies who get those contracts could include a payroll saving option via a credit union in those contracts. That would be a very simple and low-cost initiative that could expand membership considerably. Annabelle Ewing, Liam McArthur and John Lamont mentioned the credit unions in schools project. Again, the Wesleyan credit unions have raised that with me. Wesleyan credit union has fully embraced that project, and it has grown its membership in a number of schools. However, the reality is that that type of work costs the credit union money to deliver. It does not make any money via loans through that work, so it is a cost imposed on it. What it needs is long-term, sustainable funding for that project from the Government. It is no good that the Scottish Government provides funding for schools programmes for just one year or two. I am not knowing whether that funding will continue thereafter, because if we see the long-term benefits, the project and the funding has to be long-term, and it has to exist through the entire life cycle of the school pupils' time at school. What we are hearing is that it has embraced quite successfully at primary school, but when the transition to high school occurs, often the funding does not follow. It is not to say that that happens in all schools, of course it does not, but that was one of the issues that was raised. We all agree that credit union and financial education should be embedded in our schools. I appeal to the minister to look at how we put a much greater horizon on that funding so that it continues through the entire school life of any pupil. John Lamont alluded to the issue around bankruptcy and insolvency. It appears that credit unions suffer drastically when a member who has a loan enters bankruptcy seems to be insolvency practitioners who are often claiming a disproportionate amount of the debt owed. In some cases, I have heard of where someone has said debts of £6,000 or £7,000. The insolvency practitioner is claiming around £5,800, as much as that is leaving little for other creditors, including the credit union. That is just fundamentally wrong. I hope that the Government will look at that as a matter of urgency, because it is a big issue. One other issue—it will be out with the remit of the Scottish Government, but I think that there could be advice provided on that—is the way in which credit unions deal with their reserves, because they are getting a very low return on their investment of those reserves. Current interest rates mean that they are getting a piflyn return for the money that they are sitting on, and if there is some ability for them to use that, I have heard credit unions suggest that they would like to invest some of that money in social housing, renewable energy or in various other projects. However, at the moment, they are receiving very, very small sums back, and that is where they try to make their profit in order to invest back in the business, so I think that there is something that we need to look at there. I think that many people have mentioned the People Not Profit campaign, and I think that we all support that. Again, I think that these campaigns have to be consistent, repetitive, and they need to be across various mediums in order to ensure that we build momentum and membership. As the gap between the many and the few is widening, credit unions are essential to provide that alternative to the exploitative financial institutions that we have seen go before them. We have to ensure that credit unions are expanding and expanding as much as possible. There is a lot of support in this Parliament for credit unions across the political spectrum, but they have to be supported in their work promoted. I appeal to the Government to take a much longer term view of this in terms of the funding that can be provided. Alexander Stewart, around nine minutes please. Thank you, Deputy Presiding Officer. I am delighted to be taking part in the debate on celebrating the role of credit unions in Scotland's communities and closing for the Scottish Conservatives this afternoon. The concept of credit union is quite simple. We have heard that today. Members save a pool, and that pool is then used to ensure that other members can borrow. Across my region of Mid-Scotland and Fife, I have seen at first hand the success that has taken place in a number of locations in Fife, in Perth and Cynos and Clackmannanshire. Alex Rowley, in the opening of his contribution this afternoon, talked about the successes that he has seen in the Vanality and Loggelly. Annabelle Ewing commented on that being its 30th anniversary. I would like to add my weight to that as well. The celebrations that they will endure over the next year or so are well and truly given the opportunity for so many people across that community. However, the impact of humming across a safe and reliable financial service on individuals is quite significant. That makes the difference. We have heard today that there are more than 90 credit unions in Scotland. The impact and important work that the facilities in credit unions do throughout Scotland is to be commended, congratulated and encouraged. Under the Conservative, the UK Government has a strong record when it comes to making financial services more accessible, particularly by encouraging the growth of the social lending sector. The UK Government has also taken action to clamp down on some of the exploitative behaviours that are seen by payday lenders and to ensure that that sector is given some regulation. That has been introduced by the cap that has been put in place by the Financial Conduct Authority. Moreover, at the start of this financial year, £5.5 million was announced for investigations into the prosecutions of illegal lending while supporting the victims of those crimes. We have heard today about the difficulties that individuals find themselves in, and any of us can find ourselves in situations depending on our circumstances. However, if they are, they become victims of a situation that is not of their own making when they are trying to ensure that they have financial resources, that needs to be looked at. The Government has also made significant financial investment in ensuring that credit union membership across areas where there is a high risk of individuals being targeted by loan sharks and helping vulnerable people to borrow to ensure that that is safe and responsible. That, in itself, is a key sector and a key success within that sector. The Government is also providing interest-free loans and prize-linked saving schemes to encourage more people to make use of credit unions. That is moving in the right direction. My colleague Michelle Ballantine has talked about today, and she mentioned in her address that the Government has increased the common bond limit to allow larger credit unions to expand. I believe that that is a step also in the right direction. However, there are some limits to the types of financial services that credit unions can provide. Currently, they are prohibited from offering credit cars and insurance schemes. The Association of British Credit Unions has called for reform of the UK legislation that would allow credit unions to keep pace with the changing nature of financial services. The suggestions are currently ones that should be given real consideration by the UK Government. It is clear that here in Scotland, with 7 per cent of the population who are members of credit unions, we already have and play an important part in our society. We have seen the increasing membership of 20,000 people joining the credit unions over the past year, while membership in Scotland is four times higher in England and three times higher than in Wales. However, we still have a long way to go when we compete with Northern Ireland, which accounts for an outstanding one-third of the UK entire credit union total. As Alas have indicated, and it has been pointed out, the Association of British Credit Unions moreover needs to be done to ensure that the vulnerability and the resources are there. The efforts that have been made by the Scottish Government to raise awareness of credit unions through the People Not Profit campaign are to be welcomed. I knew that the cabinet secretary made that point and others have done that as well, but I commend and congratulate them for doing that. All the funding that has been put in place also to develop the junior savings schemes and I welcome the new resources that have been put forward to try and engage and encourage that to grow and expand. Once again, that is another step in the right direction. Ensuring that young people understand the financial situation as they grow into their adulthood and go into the world of jobs and markets and all the rest of it, they need to know what they can and can expect, and they should not be fallen into traps. Many organisations and companies are seeing them as potential future for themselves, so it is important that they understand it. The better engagement of young people and that schools are being actively involved, and we have heard today about that opportunity to go into schools and to work with young people, so I commend that very much. The good quality financial education at an early age is a real good experience and talks about how money should be managed. It can make a real difference for young people's lives to ensure that they are able to make better informed financial decisions on their future. This afternoon's debate has indeed been an interesting one, and we have had some well-articulated contributions from across the chamber. I would talk about what Jeremy Balfour initiated in his when he talked about the setting up of high standards and also the vulnerability of disabled and older people who have been very vulnerable to scams and want to ensure that their money is in a safe place. The banks were safe for