Dr Luke Evans, Member of Parliament for Bosworth, has supported calls to strengthen the protections for co-operatives and mutuals, such as Hinckley and Rugby Building Society and Earl Shilton Building Society, which he says have “a vital and prominent role in our community.”
In delivering a speech on the second reading of the Co-operatives, Mutuals and Friendly Societies Bill, Dr Luke reiterated his support for such businesses models. Co-operatives were first pioneered in Rochdale in the 1800s, which in essence allows a legal vehicle that involves reinvesting profits for the benefit of its members.
The Private Members Bill, brought forward by Sir Mark Hendrick MP aims to make it easier for co-operatives to attract investment whilst retaining and strengthening their democratic structures, ensuring they work in the interest of, and are owned by, members. Without these measures, there is a risk that the mutual or co-operative can be purchased and broken up. De-mutualisation sees important local investment taken out, a recent example of concern was London Victoria.
Hinckley and Rugby Building Society is in the top 20 building societies, with assets of £830 million and more than 50,000 users and customers, many of whom are based in the constituency of Bosworth. Dr Luke credited the local co-operative for it’s long running support of local initiatives, including Leicestershire Cares, and sponsorship of a cricket club in Earl Shilton in what the local MP called an “investment for our community”.
There are over 7,200 independent co-operatives across the UK with a total membership of 14 million and more than 250,000 people working in the sector.
Dr Luke Evans, Member of Parliament for Bosworth, said: “Co-operatives put the money of members and local people back into the community, helping to fund community schemes and initiatives.
“I have a local Co-op card, because in my area we have multiple Co-ops, including one in Newbold Verdon, two in Desford, and one in Earl Shilton—they really are part of the fabric of Leicestershire.
“I am keen to see how we can turn this into an industry that is fit for the future and drives innovation in the sector. This Bill would enable us to restore the impact of mutuals on society that saw as I grew up, and now have the pleasure of representing in my area.”
Andy Carter, the MP for Warrington South, who grew up in Bosworth added: “One of the first things my mum and dad did [for me] was open an account at the Earl Shilton Building Society, and I still have that account today.
“I think that they put in £2 – today, having not put any money in, it is worth about £4,000. That is certainly a demonstration of the value of local building societies and the role they play in local communities.”
