Why a surge in savings is a problem for credit unions

Report shows a 'striking' gap between savings and loans at credir unions. Picture: iStock

Credit Union members lodged more than €1bn in extra savings over the past 12 months due to the impact of the pandemic creating challenges for the sector, according to a new report from the Central Bank.

The latest Financial Conditions of Credit Unions Report shows total savings across the sector have reached a five-year high of €16.32bn. The average credit union member now has savings of €4,700.