Four UK trade bodies have come together to publish a joint prospectus ahead of the next General Election, outlining how cooperatives and mutuals can help the next government tackle the biggest challenges: economic stagnation, inequality and insecurity, and the climate emergency. The four bodies are ICMIF member the Association of Financial Mutuals (AFM); the Association of British Credit Unions Limited (ABCUL); the Building Societies Association (BSA); and Co-operatives UK

In press releases issued by these four trade bodies to launch the prospectus, they highlight the fact that mutual and cooperative businesses make a significant contribution to the UK economy, with combined annual revenues of GBP 87.9 billion, equating to 3.5% of UK GDP.

The joint prospectus features case studies from a number of UK-based ICMIF members, highlighting the best-practice of mutual insurers and friendly societies. The members featured are: Cornish Mutual, Royal London, Sheffield Mutual Friendly Society Limited and Benenden Health.

By offering a competitive alternative to shareholder-owned businesses, mutual and cooperative businesses are essential for the UK to build an inclusive, growing and diverse economy. They also provide greater consumer choice while delivering ‘mutual value’ to their members and wider society.

However, their different legal and regulatory frameworks prevent mutuals from competing on a level playing field with their competitors, say the trade bodies.
The mutual and cooperative sector is therefore calling on the next Government to create a meaningful covenant between mutuals and cooperatives, Government and society, based on the purpose-driven business model that delivers tangible benefits to our communities and wider society.

The joint prospectus sets out the action needed by the next Government:

• Create an environment that places mutuals and cooperatives at the heart of economic strategy, supporting the growth of the mutual sector
• Deliver a legislative and regulatory framework that enables mutuals and cooperatives to meet the needs of the communities they serve and compete fairly with other businesses
• Create and preserve capital to support new and growing mutuals and cooperatives

You can read the joint prospectus here: The Purpose of Mutual and Cooperative Business in Society

A series of parliamentary events will be held across the UK in the new year to engage, face-to-face, with politicians from all parties. The aim is to build understanding of the value mutual organisations bring to the economy, and to garner support for the actions required to maintain that mutual value.