To consider a report of the Deputy Chief Executive (S151) providing an update on the formation of South West Mutual.
The Cabinet had before it and NOTED a *report of the Deputy Chief Executive (S151) providing an update on the formation of South West Mutual.
The Cabinet Member for Finance outlined the contents of the report stating that the update was provided to give visibility to the project, although progress had been slow due to the economic climate, the pandemic and the challenge of setting up a bank due to regulatory hurdles; the Council would continue to monitor and support the project.
Consideration was given to:
· How realistic was the project given the amount of money it would take to make it operational and whether such a bank could succeed – the lack of big banks in the community and the hope that the project would succeed
· Whether the Council’s contribution to the project could be returned if the project failed seeing that there was a need for the Council to make savings across the board.
· The fact that such a bank would benefit residents
· The risk of the Council’s investment and the amount of percentage on return if the project succeeded. It was reported that the initial investment would not be refundable but if the project was successful then the dividends/returns would be of value.
Note: *Report previously circulated, copy attached to minutes.