'These are a hugely positive set of results and testament to the enduring trust and loyalty': Northern Ireland credit unions hit record highs in loans, savings and membership

Credit unions affiliated with the Irish League of Credit Unions (ILCU) in Northern Ireland have reported record-breaking performance for the financial year ending September 2025, with strong growth in lending, savings and membership underscoring rising confidence in the sector.

Figures for the period October 2024 to September 2025 show the collective loan book reached an all-time high of £740 million, up 6% (£42 million) on the previous year and representing growth of almost 60% over the past decade.

The average loan outstanding also increased, rising 7% year on year to £5,283. Over the past five years, the average loan value has grown by 33%, reflecting sustained demand from members for affordable credit.

This strong loan growth is being accompanied by prudent management of arrears. Arrears are down 6.0% year on year, and the overall average arrears ratio is down to 2.9% at end September 2025.

Member confidence also remains robust, demonstrated by a 3.8% increase in savings, which now total £1.68bn across ILCU-affiliated credit unions. Overall assets rose to £1.98bn by the end of Q4 September 2025, an annual increase of 4% (£76m).

Capital reserves have increased to £282m, up 4.9% for the year to Sept 2025. The overall capital ratio of ILCU affiliated credit unions in Northern Ireland is now 14.3%, up from 14.1% in Sept 2024.

Credit union membership continues to expand, reaching 586,000 members, an increase of 15,000 over the year. This is equivalent to approximately 1,250 new members each month.

The provision of complimentary insurance cover by credit unions to eligible members remains a critical financial lifeline for families facing bereavement. This distinctive offering sets credit unions apart within the financial services sector.

In the October 2024 to September 2025 period, ILCU-affiliated credit unions in Northern Ireland paid out £13.9m in Life Savings benefits, helping to ease the immediate financial burdens faced by loved ones. In the past 12 months, this supported 4,200 families during a very difficult time.

Credit unions also provide Loan Protection cover at no direct cost to eligible members. In the past 12 months (Oct 2024 – Sept 2025), loan protection cover cleared £3.4 million in outstanding loans, relieving almost 1,000 families of the burden of repaying a deceased member’s loan.

Commenting on the results, Martin Fisher from the Irish League of Credit Unions, said: “These are a hugely positive set of results for credit unions and testament to the enduring trust and loyalty which members place in credit unions.

"They also reflect the vital role credit unions continue to play in supporting households and communities across Northern Ireland, offering fair, affordable, and member-focused financial services at a time when many families are facing ongoing financial pressures.”

In parallel with this strong financial performance, 2026 presents a significant opportunity for the credit union sector. In April 2025, the Economy Minister launched a public consultation on legislation to modernise and strengthen the credit union sector.

That forthcoming legislative reform process in Northern Ireland, together with the recent Financial Conduct Authority and Prudential Regulation Authority review of the mutuals landscape across the UK, creates real momentum for modernising the operating environment for credit unions.

Martin added: “We are engaging closely with policymakers and regulators in Belfast and London to ensure that any changes enable credit unions to do even more for their members - whether that is expanding product offerings, embracing digital transformation, or strengthening long-term sustainability.

"With the right reforms, credit unions can play an even greater role in promoting financial wellbeing and driving inclusive economic growth across Northern Ireland.”