911±¬ÁÏ

Abstract

This paper takes as its starting point a report produced by Cambria Cydfuddiannol Ltd, a registered co-operative society working to launch a community bank for Wales. It draws also on a report to the Welsh Government by the Public Policy Institute to detail the development of Banc Cambria from the early exploration of the idea of a publicly owned bank in 2016, based on the work of Ellen Brown and the bank of North Dakota, through a policy development process that has led to the adoption of a mutual ownership model with the support of the Community Savings Bank Association. It chronicles some of the work done to gather the support of key Welsh Government Ministers and the financial and policy support of Welsh Government to progress the project, as well as political support from all the main parties represented in the Welsh Senedd. The initial idea for Bank Cambria came from the People’s Bank for Wales Action Group (PBWAG) and the paper represents a summation of the learning so far; at the time of writing, some of the more detailed work undertaken or in progress remains commercially sensitive and cannot be shared publicly and is therefore not included in this paper. 

References

Bank of England. (2016). The PRA’s and FCA’s Threshold Conditions.

Bank of England (2019). How banks are authorized. Quarterly Bulletin 2019 Q3.

Bank of England (2020). Credit union quarterly statistics 2019, Q4.

Bank of England (2021). Thinking of becoming a bank/Should I become a bank. New Start-up Unit.

Bank of England/Financial Services Authority. (2013). A review of requirements for firms entering into or expanding in the banking sector. FCA.

Bird, A. (2019). (Ed). The case for Bank Cambria. Report prepared on behalf of Cambria Cydfuddiannol Ltd.

Blackaby, D., Drinkwater, S., Murphy, P., & Robinson, C. (2011, May 13). Inward investment in Wales. [Written Evidence]. Welsh Affairs Committee Session 2010-12.

Brown, E. (2013). The public bank solution: From austerity to prosperity. Third Millennium Press.

Brown, E. (2012). The web of debt: The shocking truth about our money system and how we can break free. (5th ed.). Third Millennium Press.

Brown, M., & Conaty, P. (2017, September 13). Time for a full public bank in Wales? Yes. The Welsh Agenda.

CLES (n.d.) Mutuals and community banks.

Cuñat, V., & Garicano, L. (2010). Did good cajas extend bad loans? Governance, human capital and loan portfolios. Working Paper 2010-8. FEDEA.

Department of Finance & Department of Rural and Community Development. (2018). Local public banking in Ireland. An analysis of a model for developing a system of local public banking in Ireland. Government of Ireland.

Dŵr Cymru. (n.d). Glas Cymru.

Economy, Infrastructure and Skills Committee (2019). Access to banking. National Assembly for Wales. www.assembly.wales/SeneddEIS

Eurostat. (2020). Real GDP per capita (Data set).

Financial Conduct Authority. (2018, December). Strategic review of retail banking business models. Final report. FCA.

Gardner, C. (2013). A community bank for Wales: A discussion paper for the Minister of Economy, Science and transport. The Welsh Government.

Grimsdale, M. (2020, June 25). The role the ‘fair finance’ sector can play in the recovery. RSA [Blog].

Johnson, C. (2017). Time for a full public bank in Wales? Public Policy Institute for Wales.

Jones-Evans, D. (2013ba, November 22). Development Bank for Wales could leverage funding from high street lenders. Wales Online.

Jones-Evans, D. (2013b, June 3). Review of Welsh Business Access to Private Sector Finance [Agenda item 5]. Report to the Council for Economic Renewal. Welsh Government.

Jones-Evans, D. (2014, November 5-6). Access to finance for SMEs at a regional level - The case for a Development Bank for Wales? [Conference Presentation]. ISBE 2014 — The Future of Enterprise: The Innovation Revolution, Manchester, UK.

Jones-Evans, D. (2015a). A feasibility study into the creation of a development bank for Wales. A report to the Minster for Economy, Science and Transport. Development Bank for Wales Task and Finish Group.

Jones-Evans, D. (2015b). Access to finance to SMEs at a regional level — the case of Finance Wales. Venture Capital, 17(1-2), 27-41.

MacDonald, R., & Prat, M-A. (2019). Scaling up community investment in the UK: The case for investing. Big 911±¬ÁÏ Capital/Citi.

McDonald, D.A., Marois, T., & Barrowclough, D. (2020).(Eds.). Public banks and COVID-19. Combatting the pandemic with public finance. MSP/UNCTAD/EURODAD.

McKinley, S., Brett, M., & Lawrence, M. (2020). Democratic by design: A new community wealth building vision for the British economy after COVID-19. Common Wealth/Democracy Collaborative.

McLeay, M., Radia, A., & Thomas, R. (2014). Money creation in the modern economy. Quarterly Bulletin, Q1, 54(1), 14-26.

Munday, M., Roberts, A., & Roche, N. (2009). A review of the economic evidence on the determinants and effects of foreign direct investment. Welsh Economy Research Unit, Cardiff Business School.

O’Leary, D. (2015). Community Chest. DEMOS.

O’Rourke, T. (2017a, September 27). Public banks and small enterprise guarantee programmes. [Discussion paper]. Cardiff Roundtable on a Banc Cambria, Cardiff UK.

O’Rourke, T. (2017b). The role of mutual guarantee societies. Co operatives UK

Peck, J. (2017). Building community wealth in the banking sector [Blog]. RSA.

Prieg, L., & Greenham, T. (2012). Co-operative banks: International Evidence. NEF Stakeholder Bank Series.

Prieg, L. & Greenham, T. (2013). Stakeholder Banks: benefits of banking diversity. New Economics Foundation.

Public Banking Forum of Ireland. (2018, September 4). Presentation to Oireachtas Committee on Communications, Climate Action and Environment on The Future of Ireland’s Post Office Network.

Public Banking Forum of Ireland. (2017). Ireland’s alternative banking force: Local people, local banking, local enterprise. PBFI.

Racioppi, D. (2017, April 18). Murphy pitches state bank to skeptical crowd: bankers. NorthJersey.com.

Scottish Government (2019). A national bank for Scotland: Factsheet. https://www.gov.scot/publications/scottish-national-investment-bank-factsheet/

Simpson, C. V. J (2013). The German Sparkassen (Savings banks). A commentary and case study. Civitas UK. 

Singh, A., Hall, M., & Toner. E. (2020). The road to resilience: How community financial services can help level up Britain. RSA.

Skates, K. (2021, March 22). Community Bank of Wales — Progress update. [Written Statement to Cabinet]. Welsh Government.

Test Valley Borough Council (2015, June 17). Cabinet Item 9: Hampshire Community Bank [Report of the Economic portfolio holder].

Travers-Smith, F. & van Lerven, F. (2018). The local banking toolkit: A practical guide to starting a community bank. NEF.

Welsh Government. (2017). Prosperity for all: the national strategy.

Welsh Government (2019a). Prosperity for all: Economic action plan.

Welsh Government. (2019b). Regional gross domestic product and gross value added: 1998 to 2018.

Welsh Government (2021). Future cities: The national plan 2040.

Werner, R.A. (2014). How do banks create money, and why can’t other firms not do the same? An explanation for coexistence of lending and deposit-taking. International review of Financial Analysis, 36, 71-77.

Wigley, D. (2020, February 5). Question for short debate asked by Lord Wigley. Wales: European Structural Funds (Vol 801). House of Lords.

Wright, J. (2020). We are the rebuilders. Four co-operative offers for building back better from COVID-19. Co-operative UK.

Wyatt, H. (2004). Housing, Mutuality and Community Renewal: A review of the evidence and its relevance to stock transfer in Wales. Housing Research report HRR 4/04. Welsh Assembly Government.