§ Mr. DrewTo ask the Chancellor of the Exchequer what plans he has to expand the role for credit unions. [78247]
§ Ruth KellyCredit unions have an important role to play in tackling financial exclusion and in providing greater choice and diversity in the financial services sector. That is why we have been involved in initiatives to help the movement grow and to enable credit unions to offer a greater range of services to their members.
We are in the process of delivering a programme of legislative and regulatory changes to help improve the operational flexibility of credit unions. Also, through the Financial Services and Markets Act, we have brought credit unions under the regulatory supervision of the Financial Services Authority and given depositors with credit unions similar protection to those with banks or building societies. The new regulatory system, combined with our programme of deregulation, will give the movement a strong position from which to build and thrive.
The Government will continue to work closely with the movement to support and encourage its future development.