Responsible Finance
The responsible finance industry works to promote prosperity and address inequality by empowering people to take control of their financial futures. We help people start businesses, create good jobs, enable families on low incomes to save; these are all outcomes that contribute to strong and diverse industries and an inclusive and resilient economy.
- Launch a Responsible Finance Fund
A Responsible Finance Fund is needed to properly address under-capitalisation of the responsible finance sector that is a significant constraint on growth. The creation of a dedicated responsible finance fund of £150 million would unlock significant private sector investment and scale the sector’s impact on excluded and underserved communities.
- Ensure Tax Reliefs and Guarantees are fit for purpose
Tax reliefs and guarantee schemes are tools widely utilised by the responsible finance industry to leverage commercial investment, thus increasing our impact on underserved communities. These tools need to be kept competitive to maximise social and economic return.
- Maintain or replace access to EU funding and facilities
The Chancellor has guaranteed that key projects supporting economic development across the country which are dependent upon European Union funding would continue to receive funding. It is important that EU facilities which incentivise commercial investment into the responsible finance sector, namely EaSI, COSME and ERDF, are replaced, or access is maintained.
- Ensure proportionate and appropriate regulation
The responsible finance industry is regulated by the Financial Conduct Authority (FCA) and therefore is compliant with the FCA’s rules and regulations that protect consumers and promote competition. However the FCA’s rules are designed for large scale financial institutions and hamper the type of diversity in the system that would lead to greater access; and small firms like responsible finance providers have increased regulatory and reporting requirements. Proportionate and fit-for-purpose regulation would enable fair small providers to grow and innovate.
Read Responsible Finance's full manifesto here
