Unity Trust Bank plc provides specialist business banking services to trade unions, charities and other organisations that operate in the not-for-profit sector in the United Kingdom and, since 2015, its remit has expanded to include profit-with-purpose businesses. Founded in 1984, head office is located at Four Brindleyplace, Birmingham.
History
Originally a licensed deposit taking institution, Unity Trust Limited acquired full status as a bank in 1987.
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Ownership
Historically, Unity Trust Bank was majority owned by individual trade unions and federations (73.23%) and
The Co-operative Bank
The Co-operative Bank p.l.c. is a British retail and commercial bank based in Manchester, England. Established as a bank for co-operators and co-operatives following the principles of the Rochdale Pioneers, the business evolved in the 20th ce ...
owned the remainder (26.7%) through its subsidiary, Co-operative Commercial Limited.
In 2015, Unity bought back shares from Co-operative Commercial Limited, which reduced The Co-operative Bank's holding to 6.7%.
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 Trust and the Co-operative Bank no longer has a controlling interest or the right to appoint directors.
The Co-operative Bank's stake was put up for sale in 2014, in an attempt to restore Coop Bank's profitability following a capital shortfall.
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. Unity Trust Bank was rated top in eight out of nine customer satisfaction categories in the Charity Finance Banking Survey 2015. In 2013, it became the first British bank to be awarded the
Living Wage Employer Accreditation Mark.
The Co-operative Bank acted as the bank's clearing agent until 2015, when accounts migrated to a
NatWest
National Westminster Bank, trading as NatWest, is a major Retail banking, retail and commercial bank in the United Kingdom based in London, England. It was established in 1968 by the Corporate merger, merger of National Provincial Bank and We ...
sort code
Sort codes are the domestic bank codes used to route money transfers between financial institutions in the United Kingdom, and formerly in Ireland. They are six-digit hierarchical numerical addresses that specify clearing banks, clearing systems, ...
.
See also
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Trade unions in the United Kingdom
Trade unions in the United Kingdom emerged in the early 19th century, but faced punitive laws that sharply limited their activities. They began political activity in the late 19th century and formed an alliance with the Liberal Party in the e ...
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Credit unions in the United Kingdom
Credit unions in the United Kingdom were first established in the 1960s. Credit unions are member-owned financial cooperatives operated for the purpose of promoting thrift, providing credit and other financial services to their members.
Credit u ...
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Social economy
References
External links
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Trades Union Congress
{{Use British English, date=October 2024
Banks of the United Kingdom
Banks established in 1984
Companies based in Birmingham, West Midlands
Labour movement in the United Kingdom
Social enterprises
Ethical banking