Bernie's blog

A new home for my blog

2010-05-04T02:14:00.000-07:00

My blog has now moved to http://www.cdfa.org.uk/news/bernies-blog/. Read my latest post about the impact of the election.

My manifesto

2010-04-19T11:23:00.000-07:00

The UK’s first live televised prime ministerial debate generated hundreds of column inches and the unanimous agreement that the winner was Nick Clegg. Looking fresh out of Sixth Form, Clegg moved himself effortlessly into the spotlight and challenged his more experienced contenders with a confidence that no-one predicted. But he had the easiest job of the three. He had nothing to lose and could afford to go for broke, which he clearly did. The irony is, however, that he has now raised expectations of his performance on the next debates. If he is weaker in these (and Cameron and Brown will do their best to upstage him, now they know what they are facing), his previous performance will be seen as a fluke. So, from having the easiest job in the last debate, he has the hardest in the next.

Whichever government is in post after 6^th May, here are two key policies I hope they pursue. Firstly, that access to finance is a cross-departmental issue and policy should be housed in one place, possibly Treasury. Or a cross-departmental champion should be appointed to ensure policies work together of create a truly enabling framework for the CDFI sector to grow and deliver the best possible services to its clients. Secondly, that the benefits system supports disadvantaged entrepreneurs, recognising the risk they are taking in becoming self employed and independent of the state. The system should taper benefits, giving them time to build their business and income. In doing so, the rewards are manifold for both the individual and the state.

On the home front

Moving my mother into a small house, I had to sort through thousands of family photos recently. All those moments in time: bad hair, dreadful fashions and gawky teens. There were babies, baptisms and birthdays, bringing back so many memories. Most poignantly, the photos inadvertently captured the decline of my father as cancer increased its vice-like grip his body, until his battle ended. Ten years ago this week.

Taking the CDFI message to Number 10

2010-03-29T01:31:00.000-07:00

Well, what a week! I was asked into Number 10 Downing Street on Friday to discuss CDFIs with the PM’s special advisor. It was a helpful and constructive meeting and it is clear that all our lobbying efforts are bearing fruit. The PM is really interested in what we do and is making financial inclusion a key part of his election campaign. Now, more than ever, we need to our members to get behind our campaign and work together to demonstrate we are strong and cohesive sector with a real offer; we are the only people working in this space and we should shout it from the rooftops.

The Budget was really exciting, too. Mention of transparency, a bank levy, financial inclusion and community lenders would all have been unthinkable just a few short months ago. Number 10 has asked for our ideas on how these will all fit together and we will be working with them to make it happen in the most appropriate way, so that underserved communities really have access to high quality and responsible financial services, wherever they are located and whatever their background. Our press release was quoted in the Guardian and in the FT online – thanks to Joe Dumont our Head of Comms for his input on them.

Last week we also held our annual staff awayday (thanks to Clifford Chance for supporting it) where we celebrated cdfa’s 8^th birthday and celebrated our achievements. Of course, never an organisation to rest on its laurels, we looked forward to the challenges ahead as well and recognised that there are loads of opportunities on the horizon. We just need to make sure they are all optimised at the right time to maximise the lasting impact on the UK’s poorest communities. It was an energetic and constructive day and I am proud to lead such a passionate and committed staff team. Thanks to our Professional Development Manager, Corinne Thompson, for organising the programme.

Earlier in the week I went to Belfast and visited our two NI members UCIT and ENI. It was great to catch up with them and find our all their plans and developments. I love visiting members – so don’t forget to invite me round for a cup of tea…

It’s official - but we knew it all along!

2010-03-21T14:33:00.000-07:00

Well, it’s official - an independent government study published last week found that ‘CDFIs continue to address the consistent market failure to reflect the economic and social benefits of lending in underserved markets.’ It also said that ‘there exists strong and robust evidence for continued public support to CDFIs.’ Hurrah, hurrah, hurrah! Of course we in the sector have known this all along but were always subject to the riposte ‘well you would say that, wouldn’t you.’ Now we have an independent study that backs us up. It also validates the cdfa’s flagship publication, Inside Out, as the key resource for information on sector trends and developments.

At cdfa, we are using the document as a resource to support our lobbying campaign, particularly in the run-up to the general election and beyond. A pack will be going out to all our members in the next week, it will have a covering letter from our Chair, David Herd of Social Investment Scotland which is a call to all members to speak with one voice and join the campaign to ensure the sector gets the support it needs into the future. It’s now or never.

The sector is obviously appearing on other radars too. Recently, I have been approached by range of private sector companies looking to offer products to our members. Their interests vary as does their knowledge of the sector - but the ideas are often worth following up. This wouldn’t have happened a few short years ago, so it is a sign of that the sector is maturing. Mind you, there is a real cultural and language divide which needs bridging. Sometimes I have no idea what the private sector guys are actually saying to me and at others I see their eyes glaze over in a stupor when I am talking!

On the home front:

I had lunch recently with a tall, dark, handsome, intelligent, witty and charming young man. My son. Sometimes in life you have to look back and see what you have achieved. When I see my son and his sisters, I can’t help but think: job well done.

Challenging times - but exciting too

2010-03-05T07:27:00.000-08:00

Although the Tory Party Spring Forum made the news headlines over the weekend, I was there and found it was a very subdued affair. I had thought it would be upbeat, full of expectation and excitement – but there was no zing at all. Admittedly, the polls were not good for them at the time, but I think that is all the more reason for rallying the troops. Much was made of David Cameron’s speech but to my mind by far the best orator in the whole of the party (or the whole of Parliament, for that matter) is William Hague. He has always been a powerful and engaging speaker and was no different this weekend during the Forum’s opening session.

Yesterday I chaired a conference on financial exclusion where Sarah McCarthy-Fry, Exchequer Secretary was the keynote speaker. She has a real passion for the topic and an understanding of the long term issues which need to be addressed. She stressed the Government’s commitment to financial inclusion in its many forms.

Our lobbying seminar was a great success and we will be in contact with all members shortly with some advice and resources on getting involved in the election campaign, which is only weeks away now. It will be a challenging time, but like all challenging times, it will be really exciting too.

So, it’s been a bit of a political week: but then that’s how it is going to be for some time to come.

On the home front:

Have booked a new stand-up gig in April, and have run out of ideas – so am off to a writers workshop next weekend. Also, next weekend I am in the third round of a public speaking competition competing in two disciplines. In one of them I will be have eight minutes to turn round an engaging, entertaining four minute speech. Given that the general guidance for preparing a speech is that it takes an hour to write a minute, the competition will be truly challenging. But then, I always did like a challenge!

Mindblowing!

2010-02-15T07:00:00.000-08:00

What a great trip that was! I really built on my learning from and confirmed my belief that there is a lot for UK CDFIs to learn from the Indian experience. There are many similarities and differences with both operational and strategic issues.

Operationally, for instance, CDFIs in both countries face access to capital as a major issue, as is the balance between social and financial goals. Just like the UK. However the scale of the problem in India is much larger than in the UK. One microfinance organisation (MFI) we visited, had been in operation for nine years, and had just started making a profit. It employs 1500 people, has 279 branches and 370,000 clients. Yet they, and the other 800 MFIs in India, have only penetrated less than 10% of the market. Mindblowing! Another operational issue is capacity and performance: technical assistance in India echoes the cdfa’s performance framework, Change Matters: they look at the same challenges and provide similar guidance, which is good to know. Information on performance was readily available as India has a culture of bureaucracy. The MFIs were planned, monitored, evaluated, internally audited, systematised and processed to within an inch of their lives – it all provided a clear picture of their businesses and impact and allowed for really good discussions. Building clients’ business skills is another challenge for both countries as it is a hugely important part of the work we all do, a key way of addressing this is by working with partners: this goes on in both countries as well.

Strategically, as in the UK, CDFIs in India use a variety of legal frameworks and legislation is an issue. A bill is currently working its way slowly through the system: which means this is a step further forward than us. This issue of overindebtedness is beginning to rear its head in India: it has been a challenge here for a number of years. As in the UK, there is a debate on having a levy on the cost of credit with strong polarised opinions on the matter.

My most memorable experience was visiting the slums of Mumbai. Amid the stench and the squalor I met women, MFI clients, who were using their loans to change their lives and that of their families. In my naiviety, I marvelled at how clean they were. They were all dressed in beautiful saris, had glowing skin and shiny hair. Their tiny homes were immaculately kept: all this is no small feat without running water and having to share toilet facilities with 15 other families. When I remarked on this to our guide he told me, matter of factly, that the slums are rife with disease and the woman know that, unless they keep everything really clean, their children will die.

With thanks to RBS for facilitating the trip and to my fellow Advisory Board members for their insights and perspectives.

Speaking up in the general election

2010-02-05T05:55:00.000-08:00

As part of our lobbying before the general election, we have organised a free seminar for members at 10.30am on 3rd March, at cdfa's offices in London. The renowned public affairs expert Wendy Deller - previously the Public Affairs Director for Barclays, and now an independent consultant - will be joining us to discuss how you can make your voice heard in the election. You can book your place at the seminar here.

To help shape the agenda for the seminar we are holding a webchat at 11am next Friday (12th) on our social networking website, www.cdfamembers.org.uk. Watch out for more details from us very shortly.

Earlier this week I was a part of a roundtable with the Conservative party discussing banking reform. It is clear that the Tories like what we do as it appeals to their wish to support enterprise, encourage people off benefits and improve the impact of public finances by making them stretch further. We just all need to work together to promote the same message to the different political parties. Our lobbying seminar will help us do just that.

I recently went to Scotland and met up with our members, Scotcash, DSL and Social Investment Scotland. In the case of SIS, I made a presentation to their board about cdfa and its work. I love meeting boards: lots of new people with different backgrounds and perspectives, all firing questions at me! The sort of thing I thrive on. If any members want me to meet their boards as well, I would be only too happy to oblige. Just let me know.

In Sheffield recently I also met up with Key Fund Yorkshire and Donbac, our work with Yorkshire Forward has moved on recently and we hope to be able to announce something concrete soon.

I have also been to Brussels to present the cdfa’s Code of Practice to the European Commission. It seems we are the only country in Europe that has such a code and the Commission was very impressed by it. Once again the cdfa leads the international field! I am incredibly proud of all our work and the fact that it has such international recognition.

Readers of this post will see a key theme here: I have been travelling a lot in the last couple of weeks (mustn’t moan – I did get one night out of seven in the homestead. Just time to cook a meal, wash up, unpack, do some washing, re-pack, jump into bed and get up early the next day for the Sheffield trip!). But it’s not all glamour, you know. In my Glasgow hotel I was awake all night due to rowdy football crowds. In Brussels, I got to my hotel room to find it occupied by an elderly, rather portly, American gentleman (he didn’t seem surprised to see me and invited me in!!). Returning to London the next day, I just got into my hotel in time to watch the late night edition of Eastenders, only to find the TV didn’t work. Life!

On the theme of travel, I am going to India this coming week with RBS global Microfinance Advisory Board, of which I am a member. I hope the travelling will be less eventful than recently and know I will come back with loads of good ideas. Watch this space.

On the homefront.

My reign as a domestic goddess is well and truly over. I decided to clean the oven last weekend. A long overdue job, it was filthy. But somehow I broke it. So now it is lovely and clean but completely useless. In the normal course of events, I won’t be using it until next Christmas, so I am not too bothered!

A challenging year ahead

2010-01-11T08:57:00.000-08:00

Well, 2010 is well and truly with us and promises to be a year of exciting challenges.

The general election will be the main focus of our lobbying work in the first part of this year. We will be working with our members to raise the profile of CDFIs across all political parties - access to finance is a message that crosses political divides. The message might vary depending on the audience, but the fundamental proposition – that people need appropriate credit – doesn’t change.
Very soon we will be inviting our members to a seminar where we will look at different lobbying tips and techniques. We will look at who to lobby, key messages and how to ensure the lobbying has effect. We will be building on all the groundwork of last year and ensuring that our voice is heard loud and clear.

Personally, I relish this type of challenge: I know our members do too. So, I am really looking forward to it all. Bring it on!

To support the professional development of our members we have a number of programmes, starting this month with an entry level guide to the CDFI sector for new staff members ("Introduction to CDFIs", 27 January, Derby), and proceeding throughout the year with course topics including loan management, delinquency and managing change. These courses are excellent value at £75 per delegate for members; check the cdfa website for our full 2010 events programme.

Don’t forget our conference, Money for Change which is in London on 23-25 June. We are holding the event with our sister organisation, the European Microfinance Network. Save the date, as it will be the most important networking event of the year.

On the homefront:

Thank goodness the icy weather seems to have gone. I was confined to barracks for days, I even ended up cooking bread and making hearty stews. I am clearly a Domestic Goddess!

In memory of Caroline Forbes

2009-12-14T06:37:00.001-08:00

It was with great sadness that I learnt of Caroline Forbes’ death last week at the too young age of 57. Caroline was a pioneer of the CDFI sector in this country, developing the Full Circle Fund for WEETU. Every emerging sector needs pioneers: people who have a vision and passion, who can take the risk and persuade others to join them and then make things happen. Caroline was just such a person. She developed the fund, which was modelled on the Grameen Bank in Bangladesh, and promoted it tirelessly around the country. That is how I met her. We were colleagues but became friends as we travelled the UK to speak at conferences and seminars. The return journeys, when the stress of speaking had dissipated, were always full of laughter as she had an incredible sense of humour.

On one such journey Caroline told me that she had, in the past, been a comedy writer. I then commissioned her to write a comedy which would take a wry look at how we communicated our work to potential stakeholders, to be performed by delegates at our then forthcoming conference in Melton Mowbray. The resulting play has gone down in the annals of CDFI history. Caroline’s witty and perceptive script made it a great success, getting all the points across in a humorous way but not avoiding any of the difficult issues involved. I directed it, members acted in it – so it was a good job the script was vastly superior to both!

Caroline’s contribution to the early days of the UK CDFI sector was immense and cannot be underestimated. Our sympathy goes to her partner, Jane, and her family. Hopefully they will find comfort in knowing that she made a real difference to the lives of many people.

Caroline brought her intelligence, passion and humour to everything she did and she bore her illness with bravery and dignity. When I last saw her, in hospital a few days before she died, she was very weak but smiling, surrounded by visitors and a love which was palpable. Indeed, she had so many visitors that the nurses thought she was someone famous and of note. She was.

See our latest research - and get to know the CDFI sector Inside Out

2009-12-08T07:56:00.000-08:00

Last week, we launched Inside Out, our annual publication on the community development finance sector. The document shows that CDFIs now have loaned and levered nearly a billion pounds into deprived communities and underserved markets in the UK. The launch was held at Barclays in Canary Wharf and was attended by practitioners, banks, government departments, regional development agencies, the media and other key stakeholders, all of whom wanted to find out the latest news about our sector. Inside Out captures a whole host of data about the sector, how it operates, its performance and who provides funding and other support. You can find out more about Inside Out on the cdfa website.

We also held a seminar on our performance framework, Change Matters. The event gave members the opportunity to find out more about the assessment process and how it will work for their CDFI, as well as discuss issues arising with stakeholders who were present. In good numbers, I might add.

Last month I spoke at the London Citizens Assembly held in the Barbican. The subject was about levering citizen action in the new financial climate. There were 2,000 people present including Boris Johnson , Stephen Timms, Greg Hands, and Vince Cable. The assembly had five key ‘asks’ of politicians and you can find out more about it here. These ‘asks’ complement the sterling work being carried out by the Better Banking coalition, of which the cdfa is a key member. The coalition is gaining ground in the run-up to the general election.

In October I went to the Opportunity Finance Network conference in the US. There, the Obama administration’s support for CDFIs was obvious. Not only was a $100m fund made available for emergency credit to businesses earlier this year, but more recently a 127% rise in the central government CDFI fund was announced for next year. How wonderful it would be to have an equivalent level of support in the UK. It would make a real difference to the communities we serve and help drive us out of the recession.

I have also had a number of meetings with members or attended their events. These included the Fredericks Foundation, East Lancs Moneyline, Business Enterprise Fund, Business Finance Solutions, Social Investment Business and Bridges Ventures. Our Chair, David Herd, and I have also had meetings with Treasury Minister Sarah McCarthy Fry and DWP Minister Helen Goodman.

Lest you think I am slacking, I have also been meeting stakeholders such as Transact, the National Housing Federation and Yorkshire Forward to update them on our work and find out what is happening for them. Recent meetings with Barclays and RBS/NatWest have been about future support for the sector. I also attended the Social Enterprise Awards last week, which is a great way of acknowledging the work and viability of social enterprises throughout the UK. Of course, CDFIs are social enterprises themselves, so this event has a particular resonance for us.

On the home front:
Rather brilliantly, I have already written and sent all my Christmas cards. This has never been known to happen before about December 18th in the past, so I am feeling rather pleased with myself. Just the Christmas shopping to go……

Spreading the message across the political spectrum

2009-10-21T09:20:00.000-07:00

My blogs always seem to start by saying I have been really busy: and this one is no different – but I will try to vary the intro in future posts...

So, I have been to the Labour and Conservative Party conferences: networking and lobbying on behalf of the sector. Both events were really useful and, inevitably, had different perspectives on our work. The Labour party know a lot about us and are supportive of our financial and social objectives,while the Conservatives are keen to find out more about the way we help people to help themselves. So the interest lies across the political spectrum and we will be capitalising on this in the run-up to the general election next year.

In fact, I have started this already and had follow up meetings with MPs of all parties including Cabinet Office minister Angela Smith, and Vince Cable of the Lib Dems. Other MPs I have met recently (all chosen because their portfolios are connected to our aims) are Andrew Selous, James Plaskitt, Greg Hands, Tony Wright, Sir Paul Beresford, Kerry McCarthy, Mark Todd, Roger Gale and Graham Brady.

I also managed to fit in a trip to Brussels where I gave a training session on lobbying to a pan-European group of microfinance organisations. It seems that our lobbying successes are the envy of all Europe, which is great news for us. My cdfa colleagues who have been of particular help in our lobbying activities are Joe Dumont and Harry Glavan, so thanks are due to them for all their hard work.

BIS held a really interesting meeting of CDFI stakeholders last week which discussed at length the potential for one regulatory framework for the sector. All parties agreed that this approach would be really helpful but that it would need to be designed to support the sector’s growth and be proportional to its activities. It was also agreed that designing such a framework will be a complex task as CDFIs are already regulated by a number of different entities depending on their legal status and mission. But then, we always did like a challenge in this sector, otherwise we wouldn’t be here in the first place.

On the home front
Well the patio is still there and doing its job, which is more than can be said for the kitchen ceiling!

Welcome to our new Board members

2009-09-30T05:32:00.000-07:00

Its been a busy week or so: I got back from two weeks leave (during which I singlehandedly laid a slate patio – as you do!), straight into preparation for the cdfa’s Annual General Meeting, which took place on 24th. Board members who had completed their term of office stepped down and thanks are due to them – Naomi Kingsley of London Rebuilding Society, Bas Bush of South Coast Moneyline, Paul Kalinauckas of Black Country Reinvestment Society and Tim Heath of East London Small Business Centre. Both Bas and Naomi served two years as Chair of the Association and deserve a special mention for the extra work that it entailed.

Our new board members are Sandra MaClean of DSL, Roger Millar of Goole Development Trust, Sean Dennis of Capitalise Business Support and Jonathan Girling of East London Small Business Centre. It’s an exciting and challenging time to join our board and we look forward to working with them all. The cdfa has a new chair, David Herd of Social Investment Scotland, and our new Vice Chair is Steve Waud of the Business Enterprise Fund.

I attended the Labour Party conference earlier this week where the mood was upbeat and optimistic. There was certainly a real interest in what we are doing as the provision of responsible finance is high on the political agenda at the moment – so are working hard to capitalise on it. But who knows what the future holds - so I am off to the Conservative Party Conference next week to spread the word there too.

On the homefront:

I see Strictly is back but, inexplicably, I wasn’t asked to be a contestant. I certainly have the same ‘celeb’ credentials as at least one of the participants (over 50 and divorced after a 30-year marriage) – the main difference is that I can actually dance. So I assume my invite got lost in the post, with the strike being on at the moment. Still, there’s always next year!

Hoping for a quieter August

2009-08-18T08:11:00.000-07:00

In the lead up to the summer, working at the frantic pace that I do every day, I always fondly imagine that work will quieten down in August and that I will have time to draw breath. Why I even think this I don’t know, considering all my Augusts at the cdfa have been equally as hectic. And this year has proved no different. There was I, still hoping for a slowing of pace, when up popped a series of ideas, projects and initiatives all of which have rapidly approaching deadlines. Working with BIS, DWP, the banks and Yorkshire Forward and others on time-critical activities is both exhilarating and exhausting. Most of them are still in early stages so there will be more about them in another blog. Lest you think I do all this by myself, I would like to acknowledge the sterling efforts of cdfa staff who are always hard working, helpful and flexible in their approach: they need to be!

Of course we have our Annual General Meeting coming up on 24th September: the add-on discussion will be with ClearlySo, a social enterprise which is looking at the possibility of setting up a dedicated investment portal on their website to put CDFIs in touch with investors. Is this what our members want? If so, what should this website contain? How could it best be used? These are just some of the important questions to explore before we take the idea further. I believe the time has come for us to use technology to create a usable investment ‘broker’ for the sector, so I would be really interested to hear what our members think. AGM notifications will be going out to members at the end of the month, so look out for yours and book your place.

Many of you will know there is a government consultation open at the moment on the Social Investment Bank. I know this bank will hold the key to supporting the CDFI sector on a long term basis, so we need to put in a response that reflects the views of our membership. This is absolutely critical. The Office of the Third Sector has agreed to talk to members next month and attendance at that meeting will be very important indeed. To find out more and book your place see our website.

On the homefront

Saw two films recently: Bruno and Coco avant Chanel. Two fashionistas changing the world, pushing boundaries and creating scandals. I really think they should be introduced to each other. Now that would make an interesting film!

Back from my travels

2009-06-30T05:46:00.000-07:00

Well, its been a while since I last updated my blog. Life has been very busy - hence my silence.

We launched our Action Plan at the House of Commons in May. It was a successful event and we are working to gain momentum for its support. You can read more about the campaign here.

At the cdfa’s conference in Newcastle in June, we heard about the international impact of the financial systems meltdown and discussed whether it presented a crisis or an opportunity for CDFIs in the UK. The broad consensus was that it presented an opportunity but that there were going to be many challenges on the way to making that opportunity happen. The cdfa stands ready to support its members through the journey ahead.

In my role on the Financial Inclusion Task Force, I was a part of a study tour to India. It was a whirlwind trip, taking in three cities in three days and meeting a whole variety of organisations including policymakers, banks, foundations and practitioners. I found it fascinating and feel there is so much to learn from the microfinance sector in India. For instance, while we look to the States for the impact of its Community Reinvestment Act, we have been unaware of something similar operating in India since 1969! There, all banks (many of whom are state owned) have an obligation to invest a percentage of their loan portfolio into certain sectors, including microfinance. Banks are tested annually and those that have not met this requirement have to invest the outstanding amount in a low yield government bond. The driver for this policy is economic development as opposed to social impacts, which was the driver for the CRA in the US. In looking at bringing this issue to the fore, the cdfa wishes to learn from other countries and create something which is relevant and appropriate to the fiscal, legal and cultural framework in the UK.

I have just come back from Australia as a guest of Foresters Community Finance, the only CDFI in that country. I spoke at a conference in Brisbane, met policy makers in Canberra and was recorded for a podcast by Queensland University, available to download from their website. It is clear there is a need for CDFIs in Australia and policy makers are at the outset of looking at the issues and deciding a way forward. One of my suggestions was to form a Task Force made up of a range of key influential stakeholders to examine the issues and make some strong policy recommendations, a model which has been very successful in the UK. They were certainly interested in this idea. Let’s hope they take it on board and it proves a useful model for them.

On the homefront.
Well, I managed to tack on three days in Sydney at the end of my Australia trip. Even though it is winter there, the weather was lovely and warm. I went to Manly beach and watched the surfers riding the huge waves. I visited the Blue Mountains which are truly breathtaking. And I took part in a jazz dance class with the Sydney Dance Company, safe in the knowledge that I would never see any of them again! Along the way I met loads of people (tourists, gap year students, ex-pat workers), had some great conversations and many, many laughs. It was tempting to stay there but the thought of a heat wave here lured me back……and back to work!

United for change

2009-05-26T02:08:00.000-07:00

Good grief – it’s all been so action packed of late that I have barely had time to breathe, left alone update my blog! Here are some of the highlights of the last fortnight:

We launched our campaign for on-going support for the sector at the House of Commons on Wednesday. What a great turnout – loads of MPs, cdfa members, and stakeholders. We were delighted that David Blunkett, James Plaskitt and Kerry McCarthy all spoke, as well as the Chief Executive of Barclays Retail Bank, Deanna Oppenheimer. Joe Dumont. Our Head of Communications, is leading this work – you can contact him at j.dumont@cdfa.org.uk

The Action Plan outlines the way the sector needs support to help it grow so that it can continue to serve the most disadvantaged communities throughout the UK. Our experience of serving this market provides us with unique knowledge which we intend to build on until we are not needed any more. We also launched our campaign website. Visit it at www.moneyforchange.org.uk and sign up to the cause.

After the launch, I went out with Paul Breen and Andy Jupp from Business Finance Solutions, a cdfa member based in Manchester. (Note to self: never take two unreconstructed Northern blokes to the Cinnamon Club in London again). An enlightening experience!

Leading up to the launch we held seminars around the country to ask our members and other stakeholders about the challenges they were facing in the recession and to raise the profile of our work. The events were in London, Bristol, Birmingham and Manchester. We then presented our findings to the Government and others in a forum we held in Westminster this week. Thanks to Barclays for supporting all these events.

As well as hurtling around the country chairing the seminars, I have been doing local radio interviews to let people know about our work. So far, I have been on the air in the South East, London, North East and West Midlands. I think local radio is a brilliant way to reach local people, so hopefully loads more people know about what we offer and how we can help them through difficult times.

After intensive lobbying by the cdfa, Lord Mandelson has announced some reforms to the BERR’s Enterprise Guarantee Scheme, which should help the sector’s capital flow. CDFIs, government and banks all need to work together to make this happen. A real coup for the cdfa.

Conference places are going fast: make sure you don’t miss out as it is vital your views are taken into account as we move the sector onto a stable footing. You can book at www.cdfa.org.uk/conference

Reports of a rift in the community sector around the introduction of a CRA equivalent are quite wrong. The cdfa has always worked constructively with others in the third sector and it always will.

Well, I am off on my travels this week - on a whistle stop tour of financial inclusion projects in India. I am going as a part of Treasury’s Financial Inclusion Task Force and am really excited by the prospect. I will tell all when I get back.

On the home front: what home front? Been far too busy for that sort of thing!

An ongoing challenge

2009-05-04T05:40:00.000-07:00

Well, the budget didn’t bring us the news we were hoping for, but at a meeting the next day with Lords Mandelson and Myners as well as Stephen Timms, I raised our issues again, asking when they would turn their rhetoric of support into reality of delivery. I was asked to follow up my comments in writing, which I have duly done and am now awaiting a response.

Our seminars which are sponsored by Barclays start this week. Places are filling up: be sure to book yours - go to our website for further information.

Our Action Plan will be launched at a reception in the House of Commons on 20 May. We will be asking for ambitious but achievable support for the sector in both the short and long term. These are exciting times and I know, if we all pull together, we will reach our goals.

Conference places are also being booked up. The early bird offers end this week so make sure you get the best possible deal by Wednesday. This is the community development finance event of the year, so don’t miss it: book at www.cdfa.org.uk/conference.

Our recent leadership course was a resounding success - thanks to all those who took part. I have long believed we need to further develop our leadership talent and was delighted when DWP agreed to finance a programme tailor made for our sector. We plan to run more in the future so that we also develop potential leaders as well. This sector is here to stay.

On the home front
Oh dear: repeated attempts to stop my kitchen ceiling leaking, which culminated last Saturday in a whole plethora of male friends digging up my patio (the kitchen is in the basement, by the way, they weren’t digging up the patio to bury me underneath it), have come to nothing. I was working from home on Monday and watched another leak spring from a completely new part of the ceiling. It’s clearly an ongoing challenge. Bit like building the community finance sector, really!

Regional finance roadshows

2009-04-15T09:54:00.000-07:00

Credit for small businesses is becoming more and more of an issue: and CDFIs are continuing to fill the market gap created by mainstream financial institutions. As the recession bites, so the importance of our work is thrown into relief. If you have an interest in supporting small businesses, you will need to come to one of our regional seminars to find out about how we can help you in your work. These events will be of great importance to you if you run a business, provide support to businesses, work in regeneration or economic development or if you work in a policy body or statutory authority. It is vital we continue to provide credit which is the lifeblood of so many businesses as, without it, the economic welfare and social wellbeing of our communities will die with severe short- and long-term consequences for everyone of us.

Our seminars, which are supported by Barclays and free to attend are being held in Bristol on 5 May, London on 6 May, Birmingham on 13 May and Manchester on 15 May. You can find more information on our website.

Plans for our conference are moving on apace: I have been in contact with our international speakers and know they will be providing us with really helpful and challenging insights into the impact of the recession in their countries. We have created an Open Space session where delegates can pitch to run a workshop, making the event as up to date and lively as possible. You can book your place here. I look forward to seeing as many people as possible there as the time is right for rigorous discussion about the way forward for the sector.

There has been a lot of talk recently about running banks through the Post Office: in many ways a great idea, as the Post Office is a known and trusted brand with reach into the right communities (although this reach has shrunk with its recent branch closures). But the skills, systems and procedures needed to run banking services differ markedly from those currently on offer by the Post Office. Perhaps there is a case for partnering with CDFIs, so that our members can use Post Office premises - that way we have a win-win situation: there will be quality banking services available and accessible for those who need it most.

On the home front;
I am embarrassed to admit that I had a great time when I went to see a Beatles tribute band at the weekend. It was quite shocking to note that the audience were mainly septugenerians – although it did make me feel rather young, which is a rarity these days. I met up with a Japanese friend who was telling me that the Beatles are still hero-worshipped in Japan, even by the younger generation. Perhaps one day they will come back into fashion here and I will at last be a trendsetter!

Take part in the cdfa caption competition

2009-04-08T02:58:00.000-07:00

Another busy week has flown by!

We held our Parliamentary Roundtable last week. It was chaired by Kerry McCarthy MP. A wide range of stakeholders attended including Regional Development Agencies, government departments including BERR, the Office of the Third Sector and HM Treasury and representatives from banks including Barclays, RBS/NatWest and Lloyds. The outcomes of the discussion will form the basis of our campaign Action Plan. To give you a heads-up, some recurring themes were that the CDFI sector needs capitalisation, long term thinking and strong partnerships. That it has a vitally important role to play in creating wealth in poor communities and stands ready to be a crucial tool to help support the UK out of recession.

I was delighted that, as a result of my meetings with MPs two weeks ago, three members of the Treasury Select Committee co-signed a letter to the Treasury supporting our Budget submission. This gave it a real boost and we are now working to ensure that the submission achieves its objective.

You may have noticed pictures of me with the PM on my blog last week. They are now the subject of a caption competition on our social network site. What was I saying to him, or what was he saying to me? Why not send in your suggestions – there’s a bottle of bubbly in it for the winner!

If you're not yet a member of the cdfa social network, do sign up at www.cdfamembers.org.uk (enter a random date when it asks for your date of birth - it's a feature of the template software and the information isn't displayed or recorded anywhere). Registration takes a few seconds and will enable you to engage with fellow CDFIs and contribute to our campaign.

On the home front:

As I said before, how time flies! My daughter got married last Saturday. It was a lovely day full of joy and happiness. With all my children around me, I was bursting with pride. Naturally I spent some time reminiscing about them growing up and all the tears and tantrums of the past (and that’s just when they were teenagers!) So I took the opportunity to wreak my revenge by indulging in a virtuoso display of embarrassing mummy dancing. Payback time!

Turning support into positive action

2009-03-27T04:39:00.000-07:00

At 1pm last Friday, cdfa members took part in a web chat, using our social networking website, to contribute their ideas and knowledge in the lead up to the public launch of the Money for Change campaign.

The points raised will go towards our Money for Change Action Plan, which will inform our lobbying efforts and set out clearly the measures needed to take the CDFI sector forward, including the support needed from central Government, local authorities, regional development agencies, banks and CDFIs themselves.

We’ve already spent the last couple of weeks raising CDFI issues with decision makers and stakeholders, including the Prime Minister.

I recently did a whirlwind tour of meetings with prominent backbenchers, including Nick Ainger, Jim Cousins and Andy Love, members of the Treasury Select Committee; Katy Clark, Mark Lacarowicz and Tom Levitt, who all have an interest in the area; and Kerry McCarthy, who went on to chair our Parliamentary roundtable meeting with external stakeholders last week, to help us shape the Action Plan.

And the other week I was fortunate enough to speak briefly to Gordon Brown. Along with other representatives of the sector, I attended a reception to support frontline agencies (for more information see www.realhelpnow.gov.uk). Our colleagues from ELM and MCF were photographed with the PM and I managed to speak to him. He said that CDFIs were very important and that ‘we will do all we can to help’. In his speech Mr Brown talked about the importance of credit being provided by organisations that people can trust, demonstrating his understanding of our approach to our work. Other cdfa members there were Five Lamps and CART. After the main reception the PM invited us to look around the building (I have only attended meetings at Number 10 before, never wandered round, so it was really exciting). We had a great time visiting the state dining rooms and the cabinet office. So, an all round good event.

Last month I met three entrepreneurs who have been financed by one of our members, Capitalise Business Support based in Hastings. Their stories were very powerful indeed. One was a single mum who started out with no collateral, another was a man who was in debt and the third was a woman with MS. They have all been running successful businesses for some years now, proving that entrepreneurialism knows no bounds. With the right finance and support all entrepreneurs can reach their potential. Joining me on the visits were representatives from BERR and the FSA, all of whom were truly engaged by the stories the entrepreneurs told. There is nothing more powerful than this type of testimony and we need to be able to sell and tell our stories more often.

Last year a friend of mine asked me what my children were doing. I had to confess that as a mother of two daughters and a son all in their twenties, I had no idea. She pointed out that if I joined Facebook I would know - thus I became part of the social network revolution. And it is very revelatory, I can tell you! Through our own social network at www.cdfamembers.org.uk, the cdfa is helping keep members keep in touch with our activities and in contact with one another. Crucially, it's also a forum for you to contribute to our campaign. This will be an incredibly powerful tool, but only if it is used by members – so if you haven't done so already, make sure you sign up to keep fully up to date and involved. After all, as the saying goes, ‘you have to be in it to win it’.

Talking to Gordon Brown

With representatives of Five Lamps

CDFIs filling in for market failure

2009-03-11T06:20:00.000-07:00

I'm delighted to say that we feature on the Guardian's Comment is Free website today with an article responding to the New Economics Foundation's new report, I.O.U.K. Some interesting comments have been posted in response to the article - some readers appear to have missed the point of what the CDFI sector is about. It would be great to see some comments from CDFIs setting them straight!

The article is one of the first fruits of our new campaign, through which we aim to deliver a consistent level of press coverage for the CDFI sector over the coming months. We will also shortly be consulting our members and key stakeholders on an Action Plan for moving the CDFI sector forward, which will be a key lobbying tool for the campaign. And watch out for our new social networking website, which we'll be launching over the next week to help you share your success stories and feed in to the campaign.

I met with the Regional Development Agencies SME Finance Network last week to update them on sector developments and to hear how CDFIs might be included in their future plans. It was clear that RDAs understand the importance of CDFIs but that more work needs to be done to create consistency of approach and engagement. This is one of the aims of our campaign. We certainly look forward to working more closely with all RDAs in the future.

I caught up with a former colleague of mine, Brian Whittaker of the Lankelly Chase Foundation (which has just published new guidelines on its grant making policy, available here). The Foundation has long been a supporter of the CDFI sector and the drive to develop different financial instruments for the social economy. From our discussion, it was clear that many foundations face challenging times, along with the rest of us. As income from investments shrinks, so does the pot for grant making, at a time when it is needed most. There are no easy answers. In fact, Brian and I came to the conclusion that nothing will ever be quite the same again.

That CDFIs fill in for market failure was proved by Andrew Aspital of Charity Bank last week. I bumped into him in Ramsgate station on Thursday morning after the whole of the train system had come to a halt due to adverse weather conditions (the wrong kind of ice, apparently). I explained I had to get into London for the RDA/BERR meeting and he, recognising the urgency of the situation, gave me a lift to North Greenwich from where I caught the tube to Westminster. My hero! Thanks so much, Andrew.

On the homefront:
I went to see Slumdog Millionaire. Warily, because I treat multi award winning films with caution as they rarely live up to expectations. This one did however. It was a great film which said a lot about learning and knowledge. Hope that doesn’t put you off though. Go see it.

Finding the right answer

2009-03-02T01:16:00.000-08:00

Another busy week! I have said before that the best part of my job is talking to the members, discussing their issues and finding ways that cdfa can support and help them. Last week, we arranged for a small delegation of CDFIs to meet BERR to discuss the Enterprise Finance Guarantee, as there are concerns that they will find it difficult to use the scheme. The low cap on the amount lenders can claim from the Government could hamper CDFIs' efforts to raise commercial finance from the banks. But our meeting was constructive and helpful – the team at BERR want to make this work and recognise the urgency of the issue. Thanks to Eunice Lancaster of DSL, Paul Breen and Andy Jupp of Business Finance Solutions and Steve Waud of Business Enterprise Fund for all their input.

I had long discussions with Nigel Kershaw of Big Issue Invest over the impact of Community Investment Tax Relief in the current financial situation, and also with Ian Taylor of Co-operative and Community Finance for his insights into the effect of the lower interest rates on CDFI business models. I also had a helpful discussion with Sean Dennis of Capitalise Business Support about relations with Regional Development Agencies. It is important that the cdfa takes these issues forward and we will do so making the case in our usual robust and effective manner.

We held a meeting with our members who take the Industrial and Provident Society form, talking through issues which include the removal of exempt charity status. This may create problems for some members so we will be raising these with our lawyers, the Financial Services Authority and the Charity Commission itself.

Also, CDFI representatives from around the country came together last week for our Marketing Network, which we host quarterly to share ideas on raising CDFIs’ profile both individually and as a sector. There was a real buzz about this latest meeting, with a lot of enthusiasm for our forthcoming PR and lobbying campaign. If you’re interested in joining the Network, contact Joe Dumont who leads the network for cdfa at j.dumont@cdfa.org.uk. Thanks to Paul Kalinauckas of BCRS for chairing, and to London Rebuilding Society for providing the venue.

It was heartening to hear the Prime Minister last week say that we need to move banking back to more responsible practices which restore trust. CDFIs have been doing this for years! Previous banking practices created the market gap that CDFIs are filling and doing so by lending responsibly and creating trust between themselves and their clients. Any new mainstream system which rises from the ashes of this financial meltdown must be based on such principles, otherwise we will not have learned our lesson. But I wonder if it will? Despite the PM’s words and the government stake in many banks, I am concerned that greed and market forces will rear their head in the future and we will see a repeat of the current situation. The PM must match words with deeds by ensuring the right people are appointed to the right posts, that the regulatory regime is appropriate, and that banks disclose their activities in a manner which achieves parity and transparency.

On the homefront:
Oh dear, our quiz team only came third this week, a poor standard for us. It all hinged on the answer to ‘What was unusual about Perry Mason and the case of the Terrified Typist?' We just didn’t know. (For the trivia fans among you: it was the only case he lost.) Working through the shame I am telling myself that even University Challenge's all-conquering Gail Trimble would not have known that...

A Revolutionary Road to inclusive finance

2009-02-24T01:54:00.000-08:00

Another busy week. I had a really interesting meeting with the cdfa's President, Susan Rice. Susan is the Managing Director of the Lloyds Banking Group in Scotland, so she is certainly in the thick of things. I briefed her on sector developments and she is keen to back our forthcoming campaign. She is also speaking at our conference in June (10th-11th in Newcastle, save the date), so delegates will be able to hear her own perspective on the financial crisis and its impact. Other speakers we have confirmed this week are Mark Pinksy, CEO of our American sister organisation the Opportunity Finance Network, Philippe Guichandut, Director of the European Microfinance Network and Grzegorz Galusek, Director of the Microfinance Centre, so we will have a truly international perspective on recent developments and how they are affecting CDFIs around the world.

I went to BERR’s Small Business Finance Forum, the main topic of which was the Government’s new Enterprise Finance Guarantee. The meeting was chaired by the Small Business Minister, Baroness Vadera. I said that we were working with BERR to find a way to make the scheme work for our members, but that we need to find a resolution soon as it is a critical time for lending. She took the point.

Our Board met last week and agreed that, with a high profile campaign in the offing, CDFIs need to be able to demonstrate that they are strong, responsible lenders, running solid businesses with social goals. Two key tools for this are the cdfa’s Code of Practice (which is compulsory for all members) and undergoing Change Matters, our Performance Framework assessment. If we want to gain the confidence of an even wider range of stakeholders, then this is the way forward.

On the homefront:

I took a day’s leave to go shopping with my daughter for her forthcoming wedding. I noticed that two shoe shops, a jewellers and a card shop have closed in our high street since the new year. Two of the four shops were small independents which had been a part of the community for years. A real blow to the owners and the town. It will take a while for new government initiatives to filter to the high streets - I hope its not too late for other businesses. This is why CDFIs are so important, filling the market failure. We need to build the sector to scale so it can reach into every community in the UK and stop this drain of both social and financial capital.

I saw Revolutionary Road this week with Leonardo di Caprio and Kate Winslet. Last time those two got it together, it all ended in tears. It was no different this time. When will they ever learn?

Putting CDFIs centre stage

2009-02-16T01:11:00.000-08:00

Three themes kept emerging during the financial inclusion conference I chaired last week: trust, confidence and partnership. Trust needs rebuilding between the consumer and the banking sector and it could take many years. Confidence in people’s own ability to manage their money and understand their responsibilities when they take on financial products. And partnership because it will take all of us working together to rectify the mistakes of the past.

On that point, I believe that we must learn from this crisis. There were apologies at the Treasury Select Committee last week from the banking industry, but sorry is an empty word unless it is matched by deeds that demonstrate it won’t happen again. If we rebuild the banking sector on the same lines as previously (and I have a feeling we might), this devastating crisis will repeat itself. Those future generations who will be affected, our own sons and daughters, will look at what we did and find us wanting.

But I am proud to say that our sector is based on principles that the rest of the financial services industry can follow. CDFI finance is fair and responsible, and driven by need, not greed. The financial sector should be rebuilt along these lines - CDFIs can lead the way.

But CDFIs face unprecedented demand for finance, at a time when their own access to capital is under strain. As their trade association, the cdfa needs to shout louder than ever about how much CDFIs have to offer.

That is why we are devising a lobbying and PR campaign, to be launched within the next few weeks, which will call for the sector to be fully supported and capitalised. We’ll aim to deliver a higher level of national media coverage about CDFIs, while achieving active political support for the sector. We are currently tendering for an agency with a track record of delivering successful campaigns to work with us.

We’ll be giving our members every opportunity to participate in the campaign, as we recognise that it will only succeed with the full backing and involvement of CDFIs around the country. In 2005, the sector pulled together to campaign for the Government to preserve the Phoenix Fund. We did it then and I know that we can do it again. I look forward to giving you further updates as the campaign develops.

At least we know that, when it comes to demonstrating the success of the sector to Government, we are knocking on an open door. I am delighted to say that we have signed a contract with Business, Enterprise and Regulatory Reform to deliver work for them until March 2011. This is great news and we look forward to working with BERR throughout this time.

Another goal of the campaign will be to build closer links between the banks and the CDFI sector. Many thanks to Steve Walker of ART for helping with discussions about improving the banks’ understanding of our activities over the past week.

There were reminders of the financial crisis away from work too last week. I attended two birthday parties in one day - one in Berkshire the other in Kent - and the recession was at the centre of many a conversation at both events. It struck me that it has affected people differently. A travel agent had recently been made redundant. A venture capitalist and alternative therapist (opposite ends of the work spectrum, I’d have thought) both reported a significant downturn in work. A chap who supplied software to the police was doing very well, as he said, ‘the police are busier than ever’. An employment lawyer told me that her business was on the up due to the many redundancies taking place in the city. Life is never simple.

And finally: so Chelsea sack their manager (not before time), report millions of pounds of losses, yet still operate and managed to win at the weekend. As a fan, I am not asking questions. Just waiting to see consistent wins and good football, if that is not an oxymoron.

Lessons we can learn from the US

2009-02-09T01:58:00.000-08:00

Well, the weather scuppered a lot of meetings last week but it gave me the time to contact members to chat through their issues and see how the cdfa can support them. By far the part of my job I like the best!

Despite the weather, our Moving into Management course took place in Birmingham. This course is designed to develop the up and coming talent in the industry. Building on our talent and skills is a topic close to my heart as I believe it is the key way we will create a strong and vibrant sector able to take on the challenges of the future. We intend to run more of these events, which are supported by the Department for Work and Pensions. Thanks to Corinne Thompson and Andrew Baker for their input.

I have been having a number of conversations with external organisations about the US legislation which has resulted in their banking sector supporting CDFIs, the Community Reinvestment Act (CRA). We are all of the opinion that now is the time to reignite the debate here. However, I am firmly of the belief that we cannot call it the CRA. The title has connotations for policy makers which may not be positive. Also, one of the key reasons for the CRA (housing for low and middle income people), and the main sanction (the prevention of bank mergers), are not relevant in the UK as we have a social housing infrastructure and a consolidated banking sector. I believe we need to root any CRA-type legislation in the legal, social and fiscal framework of the UK. We also need another name – what do you think it should be? I would love to hear your ideas.

The Financial Inclusion Task Force met last week as a part of its normal meeting cycle. We are building on our work plan and also writing a report to the Chancellor before he prepares his budget.

On the homefront:
I am a member of Thanet Greeters – a voluntary project which welcomes visitors to Thanet. The model is based started in New York with the Big Apple Greeters (to which I was introduced in 2006 by Puck Markham, a follower of this blog and CEO of Community Money). The idea is that Greeters encourage regeneration through tourism by giving visitors a friendly welcome and an insider’s view of the place they are visiting. Thanet Greeters were invited to France to the launch of the Pas de Calais Greeters at the weekend. We were treated royally and a good time was had by all. Greeter projects are emerging all over the world, so look out for them as you might be able to use them yourself. If you ever come to Thanet, you never know, you might end up with me taking you around!

At the movies: Somewhat belatedly I saw In Bruges. It was brilliant: dark and hilarious. See it if you can. I also saw The Reader. An absorbing film with a great performance by Kate Winslet – so good you could almost forgive her for being such a luvvie... almost.

CDFIs need support. Angelina Jolie needs a decent meal.

2009-01-30T08:37:00.000-08:00

What a busy couple of weeks!

At cdfa we held a training course for people wishing to be assessors of our performance framework, Change Matters. These are important roles as the framework will become the foundation on which the sector will go forward. It is really heartening to know there is such an interest by so many people in making it work. We also held a trainers' networking session: we are building a pool of quality trainers for the sector and are defining standards of practice and delivery. Thanks to Claire Caffrey, Corinne Thompson, Fabiola Caillaud and John Hall for all their input.

I had a meeting with the Office of the Third Sector to discuss how the current situation is affecting our members. As usual OTS was helpful and ready to listen. They really want to make things work for us. Thanks to Harry Glavan and Mike Baker of The Social Enterprise Loan Fund (TSELF) for their input (you can read more about TSELF's excellent work here).

Also over the last couple of weeks, I have been talking to BERR about the Enterprise Guarantee Fund. They are really keen to find a way to make it work for us and have set up a meeting with our members to talk through the issues. The meeting will take place in February. A recent article by Social Enterprise magazine raised some of the issues. Thanks to Joe Dumont for his input.

Plus, I have been talking to some of the mainstream banks about their future support for the sector. Things are progressing well here.

I had a meeting with Sir Ronald Cohen to brief him on sector developments – he is such a great supporter of the sector – it is good to know that he is working for us at the highest levels.

HM Treasury’s Financial Inclusion Task Force (of which I am a member) held a day long meeting this week to discuss the impact of the credit crunch and recession. Pictures are beginning to emerge but have yet to take shape fully. You can find out more about the work of the Task Force here. The meeting was held at Coin Street Community Builders on the South Bank. This is a successful social enterprise, it was a great facility with good food and excellent service.

The cdfa board met this week and discussed, among other things, how we can raise the profile of the sector in the current economic situation. We will shortly be launching a campaign – so watch this space.

I have been working on our annual conference, Money for Change. This year the theme will be ‘Crisis or Opportunity?’ and we will be looking at a whole range of perspectives on how the recession is effecting our work. Save the dates – 10/11 June in Newcastle.

On the home front:

Dinner with friends at the weekend with the recession being a big topic of conversation. One of them, Michelle, has been made redundant from Woolworths after 13 years. While we all miss it from our High Street, Michelle is missing the social network that she was belonged to for so long. That has a real impact that cannot be calculated in economic terms, but one that has significant ramifications for our communities that shouldn’t be underestimated.

Went to see Changeling at the movies. Great film with a tour de force by Angelina Jolie. Mind you, she could do with a bowl of soup!

Welcome!

2009-01-27T05:00:00.000-08:00

Welcome, belatedly, to the cdfa's very first blog posting.

I say belatedly, because until now I've questioned the wisdom of starting a blog about our work. I know that our members are frantically busy delivering finance to the people who desperately need it. And I too have a packed workload – championing the cause of the community development finance movement, and doing my utmost to protect the sector's interests. I have wondered whether I could find time to write a blog, and whether our members and supporters could find time to read it.

But, like all businesses, CDFIs now face unprecedented challenges. For many, the challenge is helping their customers through the recession. For some, the challenge is surviving the recession themselves. We are in constant contact with ministers, senior civil servants and other stakeholders about the impact of the financial crisis on CDFIs and the communities they serve. This blog seems the perfect format to let you know about these discussions, and to give you a chance to influence them.

For example, we are currently making representations to BERR on behalf of the sector, regarding the new Enterprise Finance Guarantee. The new scheme may help to kickstart lending by mainstream banks to businesses – but some of our members have real concerns about whether it is suitable for the kind of high risk lending CDFIs do. Do post a comment on this blog, or email me, with any feedback you'd like us to pass on to BERR about the scheme.

We have also been in discussions with the Financial Services Authority and our legal advisors regarding new regulations on Industrial and Provident societies, which could threaten some of our members with the loss of their charitable status. We are arguing strongly for an exemption from the rules for CDFIs, given the important work they are doing in disadvantaged communities. Again, if you are affected by this issue we'd be interested to hear your views.

I'll endeavour to update this blog as often as I can with news about the work cdfa is doing on behalf of the sector – I hope you find it useful.

Bernie Morgan
Chief Executive
Community Development Finance Association