New research from leading ethical bank Triodos Bank UK reveals the issues UK citizens want to see prioritised for investment in their local communities – as well as frustration and disconnect as to how these projects are chosen and funded.
Polling of 2,000 adults across the UK has demonstrated a disconnect between mainstream banking and local priorities, as the majority of people (54%) say big banks “don’t care” about small communities. Meanwhile, only 29% think their bank supports positive change in their local area.
This is despite clear expectations that banks should be supporting positive change across the UK. Two-thirds (65%) of people think banks should play an active role in supporting local communities, not just providing financial services; while six in 10 (59%) believe banks have a responsibility to support positive change in the communities of their customers.
When asked which areas most need investment in their communities, the research identified a broad range of priorities that reflect both practical local needs and longer-term social resilience. Health services and support ranked highest, selected by 36% of respondents. Environment-related investment (including green spaces, local renewable energy and adaption to climate change such as flood defences) followed closely at 34%, alongside local high streets and small businesses at 33%.
Table 1: Key areas respondents think need the most investment in their local area:
|
Health services and support |
36% |
|
Environment (e.g. green spaces, energy independence / local renewables, sustainability / adapting to climate change) |
34% |
|
Local high streets and small businesses |
33% |
|
Affordable, high-quality housing |
29% |
|
Mental health services and support |
29% |
|
Social care |
27% |
|
Transport (buses, roads, rail, cycling) |
27% |
|
Creating jobs, skills and apprenticeships |
26% |
|
Support for vulnerable people (e.g., poverty, homelessness) |
25% |
|
Community safety/policing |
22% |
The findings point to a UK public that cares deeply about the future of its local areas, and about a wide range of issues, from energy independence and housing to protecting the most vulnerable and sustaining community life.
Yet there is significant frustration in how investment is decided, with four in 10 (39%) believing local people have no power over choosing which projects or sectors receive investment in their area.
The findings also show a lack of awareness of potential routes to deliver positive change within communities, especially when it comes to the power of their own financial influence. Less than a quarter (23%) of people are aware that other financial approaches – such as business lending from banks, or innovative financing methods such as crowdfunding – can also be used to fund projects that improve local communities.
Roger Hattam, director of retail banking at Triodos Bank UK, said: “At a time when global conflict and political uncertainty can make the future feel increasingly fragile, people are looking closer to home – to their local communities – for resilience and action. Across the UK, people care deeply about the future of their local communities. Yet for too long, many mainstream banks haven’t shared this vision of a healthier, greener future for all – instead prioritising profits over people and planet.
“While public funding remains crucial to enabling change, there is a wider ecosystem of finance that also helps communities to thrive: such as impactful business lending or crowdfunding directly from investors. In uncertain times, all of us can play an active role in supporting this positive change, turning everyday decisions on how we bank into impactful choices to align our finances with empowering the places we call home.”
Appetite for crowdfunding and community finance
The findings demonstrate strong appetite among consumers to play a more active role in directing money towards positive change.
More than a third (35%) of people say they would be interested in directing some of their investments to crowdfunded projects benefiting communities across the UK, which they could select themselves. Meanwhile, 44% say they would like their savings to support projects benefiting communities across the UK.
There is also support for more collective approaches to community investment, as a third of people (34%) say they would welcome the opportunity for their local community to pool money and help invest directly in local projects.
Taken together, the findings suggest that while people across the UK want to see change in their local communities, many still feel disconnected from the wider ecosystem of funding that could help communities to thrive. Increasing awareness of options such as crowdfunding, community investment and values-led banking could help unlock more public participation in shaping local futures.
Triodos Bank UK has delivered over £2.5 billion in lending to projects generating transformative social and environmental impact across the UK since the bank opened in 1995. It has pioneered the use of finance to drive forward environmental change, as well as supporting social impact in communities across the UK. This has ranged from social housing, charities and healthcare providers, to backing community projects such as Gympanzees – the UK’s first accessible play centre for children with disabilities. Triodos publish details of every organisation lent to on a section of the website called Know Where Your Money Goes.
