Executive Report Sample

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Financial exclusion in two speed Leeds Executive Report Research into Financial Exclusion in Leeds and a study of alternative community based credit and savings systems, undertaken by Community Finance Solutions at Salford University on behalf of Leeds City Council. Financial Exclusion Report for Leeds City Council 2004 Foreword Leeds is a prosperous city. It is not only prosperous in its own right but acts as a generator for wealth, which goes well beyond its immediate boundaries. Leeds image as a prosperous city is well documented and commentators from around the country pay tribute to the success Leeds has enjoyed in recent decades. However, increasingly over the years, Leeds has become recognised as a two-speed city. Much…show more content…
high street banks and building societies). Consequently the financially excluded rely on range of informal solutions and ‘sub-prime’ providers. This has three negative effects: 1. Inability to access many services that now operate entirely beyond a cash based economy. 2. The banking sector is highly regulated with extensive consumer safeguards. Unfortunately similar protection is not always available when using subprime providers. 3. Most perniciously, the cost of credit varies enormously with APR rates from around 14% for a bank loan, to upwards of 177% for a small cash loan from a doorstep lender. It reduces families’ disposable income, which in turn reduces their children’s life chances, and thus cuts the amount spent with local shops and businesses. In addition to undermining existing micro-entrepreneurs, the lost money reduces the capacity of potential entrepreneurs to start businesses. This latent entrepreneurship is highlighted in the report, with 20% of those surveyed in deprived communities interested in affordable loans for business start-ups. What is the nature of financial exclusion in Leeds? To assess the extent of financial exclusion in Leeds a survey of 410 households in the most disadvantaged parts of the city was undertaken. The results indicated that those with lower incomes were most likely to be financially excluded, in particular, lone parents, families with children,
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