Charity Bank

What Charity Bank does

Charity Bank Limited is a UK-regulated deposit-taking bank (PRA-authorised, FCA-regulated) established in 2002 and headquartered in Tonbridge, England, that lends exclusively to UK charities, social enterprises, housing associations, and other social-purpose organisations. The bank operates two interlocking lines: a lending business offering secured loans from £150,000 to £7.5 million (with larger amounts syndicated via partner social lenders), and a savings business accepting deposits from individuals, businesses, charities, trusts, clubs, and credit unions. Its lending product set spans small-balance social investment solutions (sub-£750k), larger impact loans (above £750k), dedicated green loans, and development/construction finance, including a £50 million Energy Efficiency Programme. Since founding, Charity Bank has disbursed over £653 million across 1,488+ loans and in 2024 originated a record £70 million (up ~31% from £53.5 million in 2023).

The bank's technology footprint is modest: a core banking platform with a post-and-telephone-based savings administration layer, an upcoming mobile savings app (spring 2026) being built with Australian digital banking provider Sandstone Technology, and a web-based Energy Savings Tool co-developed with Energy Savings Trust. NatWest serves as the clearing bank and Confirmation of Payee has been live since May 2024. The revenue model is the classic specialist-bank spread: interest income on secured loans (typically base rate + 3.6% on sub-£500k deals, terms up to 25 years, 70% LTV residential / 65% LTV commercial) minus interest paid on deposits, supplemented by 1.95% arrangement fees on smaller secured loans.

Charity Bank's distinctive position derives from its ownership and mission architecture: it is entirely owned by charitable foundations, trusts and social purpose organisations (including Esmee Fairbairn, Big Society Capital, Church of England Pensions Board, and ACCESS), with no venture or private equity capital. This shareholder base, combined with 20+ years of social-sector underwriting experience, an NPS of 82 (top 5% of financial institutions per CustomerGauge), B Corp and Social Enterprise UK certifications, and a referral rate where 71% of borrowers arrive by recommendation, creates a tightly integrated ethical-banking niche that mainstream banks have not been able to compete in directly.

Name

Charity Bank

Legal name

The Charity Bank Limited

Website

https://charitybank.org

Company type

Private

Founded year

2002

Operating status

Operating

Headcount range

51–100 employees

Short description

Charity Bank is a UK-regulated bank entirely owned by charitable foundations and social purpose organisations, lending £150k–£7.5M to charities, social enterprises, and housing providers, funded by deposits from ethical savers.

Ownership category

akta.pro rank

Headquarters

HQ city

Tonbridge

HQ country

United Kingdom

HQ region

Europe

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Technology or R&D, Marketing or Sales, Infrastructure, Others

Revenue model

1. Loan Interest Income: Charity Bank generates revenue primarily through interest charged on loans to charities, social enterprises and organisations with charitable purposes. Loans range from £150,000 to £7.5 million with typical terms up to 25 years. Interest rates include base rate plus 3.6% for smaller loans under £500k.
2. Savings Deposit Interest: The bank accepts deposits from individuals and organisations through various savings accounts (personal, business, charities/trusts/clubs, credit unions). The spread between borrowing and lending rates constitutes core revenue.
3. Arrangement Fees: Loan arrangement fees of 1.95% of the amount borrowed for smaller secured loans under £500k, contributing to upfront revenue from loan originations.

Pricing tiers

Go-to-market motion3 records

Distribution channels4 records

Marketing channels6 records

Core offering

Charity Bank is an FCA/PRA-regulated UK bank that provides secured loans of £150,000 to £7.5 million+ (typical terms up to 25 years) to charities, social enterprises and social housing providers, alongside FSCS-protected ethical savings accounts for individuals, businesses, charities/trusts/clubs and credit unions. Revenue is generated primarily through the interest spread between borrower and saver rates, plus loan arrangement fees, while 100% of borrowers are impact-led and 100% of shareholders are charitable foundations, trusts or social purpose organisations.

Differentiator

Problem solved

Functional benefit

Products and services

• Loans Up to £750,000 Secured loans from £150,000 up to £750,000 for UK charities, social enterprises and social sector organisations, secured against property assets with up to 70% LTV (residential) / 65% LTV (commercial). Managed by the Social Investment Solutions team with typical terms up to 25 years, interest rate of base rate plus 3.6%, and a 1.95% arrangement fee.
• Loans Over £750,000 Secured loans over £750,000 up to £7.5 million for established charities and social enterprises seeking larger financing to amplify their social impact, with bespoke terms and dedicated Relationship Manager support throughout the loan journey. Larger facilities are delivered alongside partner social lenders.
• Green Loans Dedicated environmental loan product financing renewable energy upgrades, energy-efficient buildings, sustainable land management and carbon reduction initiatives for UK charities, social enterprises and social housing providers. Sits within Charity Bank's £50 million Energy Efficiency Programme.
• Development Finance Expert development and construction financing for building projects including new facilities, renovations and refinancing of social infrastructure. Supports social and affordable housing, community hubs and other social-purpose developments with interest-only payments during the build phase.
• Personal Savings Accounts FSCS-protected ethical savings accounts for UK individuals, including easy access, notice (33-93 days), fixed rate bonds and Cash ISAs. Funds are deployed into loans to UK charities and social enterprises. Moneyfacts 5-Star rated.
• Business Savings Accounts FSCS-protected ethical savings accounts for UK organisations liable to pay corporation tax, including easy access, notice (40-100 day), fixed rate bonds and CITR-eligible variants. Funds support the bank's social-sector lending activity.
• Charities, Trusts & Clubs Savings Accounts FSCS-protected ethical savings accounts specifically designed for UK charities, trusts and clubs, including easy access, notice and fixed rate accounts, allowing these organisations to earn returns on reserves while supporting social lending.
• Credit Union Savings Accounts FSCS-protected ethical savings accounts for UK credit unions, including 100-day notice, fixed rate and CITR-eligible accounts, helping credit unions support charities and social enterprises with their reserves.
• Cash ISA Ethical Individual Savings Account allowing UK taxpayers to maximise their current tax-year ISA allowance while earning FSCS-protected returns and supporting the bank's lending to UK charities and social enterprises.
• Community Investment Tax Relief (CITR) Savings Accounts Base-rate-tracker savings accounts combining savings interest with 5% Community Investment Tax Relief income-tax-relief benefit for eligible UK tax-resident individual savers, businesses liable for corporation tax, and credit unions investing in social-sector lending.
• Green Savings Ethical savings accounts where deposits are specifically allocated to fund green and sustainable projects including renewable energy, energy-efficient buildings and biodiversity protection initiatives.
• Energy Efficiency Programme £50 million lending programme designed to help UK social sector organisations invest in energy-saving improvements such as heat pumps, solar panels, retrofitting and other energy efficiency measures.
• Energy Savings Tool Free web-based tool, developed with the Energy Savings Trust, for social housing providers, registered providers and charities providing housing. Generates personalised reports including estimated EPC ratings, energy costs and CO2 emissions, along with action plans for property energy-efficiency improvements.

Quantifiable outcome

• 96% of borrowers said Charity Bank's loans positively supported their mission
• +6 more outcomes

Named customers30 records

Segments8 records

Ideal customer profiles4 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration3 records

Feature1 record

Partnerships

Six partnerships are on record, tiered core and minor.

• Sandstone TechnologycoreTechnology or Integration · 14 October 2025Partnership with Australian digital banking solutions provider Sandstone Technology to develop a new mobile savings app. The app will feature enhanced self-service capabilities, robust security, and modern tools, with launch expected in spring 2026.
• Energy Savings TrustcoreStrategic or Co-development PartnerPartnership with Energy Savings Trust to provide an energy efficiency tool for Social Housing providers, Registered Providers, and charities providing housing. The tool generates personalised reports with EPC ratings, energy costs, and CO2 emissions estimates along with action plans for improvement.
• CAF BankminorStrategic or Co-development PartnerPart of the social sector banking ecosystem. Several team members previously worked at CAF Bank.
• ResonanceminorStrategic or Co-development PartnerHead of Strategic Innovation Grace England previously worked at Resonance and led launch of the Resonance Social Investment Tax Relief (SITR) Fund.
• Forest CarbonminorOthersCarbon offset credits purchased from Forest Carbon since 2023 as part of Charity Bank's Net Zero commitments.
• Partnership for Carbon Accounting Financials (PCAF)minorStrategic or Co-development PartnerCharity Bank is an active member of PCAF to measure and disclose greenhouse gas emissions.

Scale indicators15 records

Recent moves7 records

Expansion highlights6 records

Broad incumbents

• Co-operative Bank: Co-operative Bank is a much larger UK high-street bank with a long-standing ethical positioning and a dedicated charity and social-enterprise banking offering. It competes with Charity Bank for ethical depositors and some social-sector borrowers, but its portfolio is far broader and not specialist.
• Nationwide Building Society: Nationwide is the UK's largest building society and a major FSCS-protected savings destination that competes for ethical and mainstream retail deposits. While not specialist in the social sector, it competes for the same depositor wallet and offers mortgage products that overlap with Charity Bank's lending.

Direct peers

• Ecology Building Society: Ecology Building Society is a UK ethical building society offering mortgages and savings accounts focused on environmental sustainability. It overlaps Charity Bank on the ethical-depositor side and on property-secured lending, though its primary loan book is residential green mortgages rather than social-sector commercial lending.
• Triodos Bank UK: Triodos Bank UK is a direct ethical-banking competitor to Charity Bank, lending to charities, social enterprises and sustainability-focused organisations in the UK. Both are values-led, FSCS-protected UK banks serving the social economy with similar product sets and similar customer profiles.
• Unity Trust Bank: Unity Trust Bank is a UK-regulated bank serving charities, social enterprises, credit unions and trade unions — directly overlapping Charity Bank's borrower base. Both offer relationship-led banking with a social-sector focus, and Unity Trust also accepts deposits from values-aligned customers.
• CAF Bank (Charities Aid Foundation): CAF Bank is the banking arm of the Charities Aid Foundation, providing current accounts, deposits and treasury services to UK charities. It is a near-direct peer in terms of customer base (UK charities) and product set, although its lending focus is more limited than Charity Bank's.

Emerging players

• Big Issue Invest: Big Issue Invest is the social-investment arm of The Big Issue, providing loans and investments to UK social enterprises and charities. Charity Bank's CEO Ed Siegel was previously its MD. It is a competitor and partner in the same social-investment ecosystem, with overlapping borrowers and complementary ticket sizes.
• Resonance: Resonance is a UK social-investment fund manager operating SITR and social-impact funds for charities and social enterprises. Charity Bank's Head of Strategic Innovation previously led the launch of Resonance's SITR Fund. Resonance is a complementary specialist rather than a direct deposit-taker, but competes for social-sector capital.

Others

• Big Society Capital: Big Society Capital is the UK's social-investment wholesale institution, providing capital to social-investment intermediaries including Charity Bank's peers. It is a shareholder/funder of Charity Bank's ecosystem and a key wholesale counterparty rather than a direct retail competitor.
• Responsible Finance: Responsible Finance is the UK trade body representing community development finance institutions (CDFIs). Charity Bank is a recognised Responsible Finance Provider. The membership represents adjacent specialist lenders that sometimes partner with (and sometimes compete against) Charity Bank in the underserved-borrower segment.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat6 records

Key risks7 records

Key highlights8 records

Customer concentration

• YouTubeyoutube.com/user/TheCharityBank
• Facebookfacebook.com/charitybank
• LinkedInlinkedin.com/company/560322
• Instagraminstagram.com/charitybank
• Xx.com/charitybank

Compliance24 records

Revenue estimate

Valuation estimate

Number of profiles

Profiles14 records

Funding overview

Funding rounds4 records

Investors5 records

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments2 records

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Charity Bank