Essential funds will be made available to capital projects in communities across Northern Ireland thanks to a brand new £13m loan fund managed by Community Finance Ireland (CFI).
The unique Financial Transactions Capital (FTC) fund, made available by the Department for Communities will be used to address social need through targeted funding to help communities meet objectives set out in the draft Programme for Government.
North Belfast based Crusaders Football Club is the first recipient of the loan fund for the installation of a 3G pitch at its Loughshore Road Grounds for use by its women’s and youth teams.
Donal Traynor, Group Chief Executive of Community Finance Ireland (CFI), welcomed the new tranche of funding. At a visit to Crusaders Football Club, he said:
“This new programme offers the most substantial capital intervention to the social finance space in Northern Ireland, ever. As the most progressive community lender with over 20 years of history working with local communities in Northern Ireland, our team are ready to speak to community and social enterprise projects seeking financial support, and to channel the distribution and management of this capital.”
Loans of £10,000-£500,000 will be available for terms of up to 15 years, with no penalties for early repayment. Where community projects demonstrate a need for a larger loan amount, CFI can consider making match funding available.
With a current social value return of £3.42 to every £1 invested, CFI can help organisations to create significant positive change in their communities that far exceeds the face value of the loan. It’s an exciting opportunity for communities and CFI look forward to seeing the impact from projects like the new 3G pitch at Crusaders Football Club.
Minister for Communities, Gordon Lyons said the scheme would provide targeted funding to the VCSE sector:
“The Voluntary, Community and Social Enterprise sector is hugely important for our local economy, providing much needed employment opportunities as well as vital community support. It is great to visit Crusaders FC to see their plans for a new training base for their ladies and youth teams and meet some of the people who will benefit from the investment. As the Minister for Sport, I’m pleased to see projects which will increase participation in sport, encouraging people to be more active, more often.”
Minister Lyons added:
“This scheme goes beyond the benefits these bricks and mortar projects will deliver. It also increases accessibility to facilities and builds community confidence, offering sports, cultural and social enterprises access to sustainable funding. Funding streams like this one can offer the VCSE sector a financial lifeline at a time when organisations are facing challenging budgetary conditions.”
Mark Langhammer, Crusaders FC Vice Chair said:
“Crusaders Football Club are delighted to work with Community Finance Ireland in developing training facilities that will particularly benefit the female and junior sections of our club and surrounding area. The close relationship, added value and flexible nature of the finance provided by Community Finance Ireland best allows us to deliver on our plans and make modern football facilities available to everyone.”
The £13 million investment will be made by the Department for Communities in three tranches to 2025/26. £4.333m has already been released to the scheme and loans totalling £576k have recently been made available to three projects.
Community Finance Ireland will apply their existing business model to prioritise projects for investment and manage repayments; the investment will be repaid to the Department for Communities over 15 years from drawdown.
If your community group or sports club has a project in mind that we can help with, then get in touch today to speak to one of our client relationship managers working in your local area.
