Unity Trust Bank
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| Public limited company | |
| Industry | Financial services |
| Website |
unity |
Unity Trust Bank plc provides specialist banking services to trade unions, charities and other organisations that operate in the not-for-profit sector in the United Kingdom and (since December 2015) its remit has expanded to include profit-with-purpose businesses. Founded in 1984; head office is located at Nine Brindleyplace, Birmingham.
History
Originally a licensed deposit taking institution, Unity Trust Limited acquired full status as a bank in 1987.[1]
An unconnected Unity Joint Stock Mutual Banking Association was formed in London in 1855. This "Unity Bank" went into liquidation in 1862.[2]
Ownership
Historically, Unity Trust Bank was majority owned by individual trade unions and federations (73.23%) and The Co-operative Bank owned the remainder (26.7%) through its subsidiary, Co-operative Commercial Limited.[1] In December 2015, Unity bought back shares from Co-operative Commercial Limited, which reduced The Co-operative Bank's holding to 6.7%.[3]
Unity Trust's new articles of association redesignated all shares into a single class, all ranking pari passu, and removed the different rights of the old classes and created additional shares. As a result, new shareholders have invested in Unity and the Co-operative Bank no longer have a controlling interest in Unity Trust or the right to appoint directors.[4]
The Co-operative Bank's stake was put up for sale in early 2014 in an attempt to restore profitability following a capital shortfall, which resulted in a rescue by its bond holders – led by US hedge funds – and the parent Co-operative Group ceding control.[5]
Activities
In its founding principles, the bank was established as “an organisation identified with and embracing the philosophy of the common good.” It promotes a socially responsible and sustainable approach to banking and lending.[6] Unity Trust Bank was rated top in eight out of nine customer satisfaction categories in the Charity Finance Banking Survey 2015.[7]
In September 2013 it became the first British bank to be awarded the Living Wage Employer Accreditation Mark.[8]
The new articles of association agreed in December 2015 expanded the bank’s activities beyond trades unions and charities (and other not-for-profit organisations) to include businesses demonstrating a ‘profit-with-purpose’ social mission.
Products
Unity Trust Bank offers secured loans as well as current and deposit accounts for organisations via telephone and internet banking services. While they have no branches, an encashment facility enables transaction at nominated high street banks or branches of National Westminster Bank, RBS and Ulster Bank. A Post Office cash account paying-in facility is offered in conjunction with the Co-operative Bank and Santander UK; cheques can be sent directly to the clearing centre using freepost envelopes to prevent delay. Since 2015, when the bank migrated from a Co-operative Bank sort code, payments have been processed through NatWest.
| Code | Note |
|---|---|
| 08-60-01 | to 20 September 2015 |
| 60-83-01 | from 21 September 2015 |
The ALTO prepaid MasterCard, issued on behalf of Unity Trust Bank by WEX Europe, allows customers to load funds from their account and withdraw cash at an ATM. Unity has partnered with Lloyds Bank to provide the Unity Corporate MultiPay card, giving organisations a greater level of spending control.[9]
See also
References
- 1 2 http://www.senscot.net/view_art.php?viewid=12861
- ↑ "Unity Joint Stock Mutual Banking Association". The Royal Bank of Scotland Group, Heritage Online. Retrieved 24 April 2014.
- ↑ Jackson, Suzy (22 December 2015). "Double benefits to be realised by Unity Trust Bank". Business Quarter (magazine). Retrieved 24 December 2015.
- ↑ Weakley, Kirsty (16 Dec 2015). "Unity Trust Bank becomes independent and announces growth plans". www.civilsociety.co.uk. Retrieved 24 December 2015.
- ↑ Treanor, Jill (14 January 2014). "Unity Trust Bank ownership set for overhaul after Co-op Bank's stake sale". The Guardian. Retrieved 17 December 2015.
- ↑ https://www.unity.co.uk/who-we-are/mission-vision-and-values/
- ↑ https://www.unity.co.uk/unity-trust-bank-out-performs-competitors-in-charity-banking-customer-survey/
- ↑ "Unity Trust becomes first Living Wage accredited bank". Blue & Green Tomorrow. 9 September 2013. Retrieved 24 December 2015.
- ↑ https://www.unity.co.uk/banking-services/prepaid-card/
External links
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