October 2022 digital edition

OCTOBER 2022
FROM WATER TO
ENERGY: CO-OPS
RESPOND TO A CRISIS
Plus … Co-ops pay tribute to
the Queen ... a report from the
international Co-op Housing
Symposium ... More changes
at the top for the Co-op Group
ISSN 0009-9821
770009 982010
01
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Co-ops and their communities
brace for the energy crisis
CONNECTING, CHAMPIONING AND
CHALLENGING THE GLOBAL CO-OP
MOVEMENT SINCE 1871
Holyoake House, Hanover Street,
Manchester M60 0AS
(00) 44 161 214 0870
www.thenews.coop
editorial@thenews.coop
EXECUTIVE EDITOR
Rebecca Harvey | rebecca@thenews.coop
INTERNATIONAL EDITOR
Anca Voinea | anca@thenews.coop
DIGITAL EDITOR
Miles Hadfield | miles@thenews.coop
EDITORIAL ASSISTANT
Alice Toomer-McAlpine
alice@thenews.coop
DESIGN
Andy Bellis | andy@thenews.coop
DIRECTORS
Elaine Dean (chair); David Paterson
(vice-chair); Sofygil Crew; Tim Hartley;
Phil Hartwell; Gillian Lonergan; Nick
Milton; Beverley Perkins; Shaz
Rahman; Lesley Reznicek
Secretary: Richard Bickle
Established in 1871, Co-operative
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Membership of Co-operative Press is
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statement is to connect, champion
and challenge the global co-operative
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and views set out in opinion articles
and letters do not necessarily reflect
the opinion of Co-operative News.
@coopnews
cooperativenews
CBP013875
With soaring energy bills adding to the cost of living crisis around the world,
we have taken a closer look at its impact on co-operatives.
Among the worst hit are small co-ops in the food sector, with co-op grocers
like Wild Thyme Wholefoods in Portsmouth and Rice up Wholefoods in
Southampton forced to close (p40-41). Community pubs such as the Bevy in
Brighton are trying to address business challenges while supporting local
communities through lunch clubs and free kids’ activities (p38-39).
Larger co-op retailers in the UK and beyond have launched initiatives
to support members, customers and employees with rising costs – with
discounts on essential products, employee bonuses and free meals
(p42-43). Meanwhile Co-op Group members and customers are being
invited to take part in Join in Live, a national conversation about policy and
priorities in these challenging times (p44-45).
Paul Gosling explores how credit unions act as alternatives to high-cost
payday lenders, with membership rising to an all-time high of 1.93 million
(p36-37). Credit unions are also joining efforts with charities to provide free
financial training (p34-35).
We also look at how co-ops are retrofitting homes by providing site analysis,
renovations, guidance and funding (p32-33) – and at the impact of the
energy crisis on energy co-ops and their members (p30-31).
The crisis comes on top of existing problems. In Jackson, Mississippi, where
residents were left without drinking water, a network of worker co-ops is
proposing co-op solutions to empower the local community (p28-29).
In Zurich, co-ops already offer solutions to housing shortages, with co-op
providers accounting for 25% of apartments in the city. The international coop
housing movement met in the Swiss capital to explore how others might
learn from its pioneering initiatives (p26-27). And we take a look at a slice
of housing co-op history, with a project designed by Antoni Gaudi (p46-47).
In the news, we have a special report on how co-ops paid tribute to Queen
Elizabeth II after her death (p6-7).
Co-ops can and do make a difference in many sectors. Yet, as the crisis
accentuates, many will need adequate regulatory frameworks and financial
support to continue their positive work.
ANCA VOINEA - INTERNATIONAL EDITOR
Co-operative News is printed using vegetable oil-based inks
on 80% recycled paper (with 60% from post-consumer waste)
with the remaining 20% produced from FSC or PEFC certified
sources. It is made in a totally chlorine free process.
OCTOBER 2022 | 3

ISSN 0009-9821
9 770009 982010
01
THIS ISSUE
CLOCKWISE FROM TOP LEFT:
Co-ops pay tribute to the Queen (p6-7);
European co-ops respond to Ursula von
der Leyen’s State of the Union speech
(p14); the co-op connections of architect
Antoni Gaudi (p46-48); community pub
the Bevy continues its efforts through
the cost-of-living crisis (p38-39);
Lambeth GP Food Co-op garden (p22-23)
OCTOBER 2022
FROM WATER TO
ENERGY: CO-OPS
RESPOND TO A CRISIS
Plus … Co-ops pay tribute to
the Queen ... a report from the
international Co-op Housing
Symposium ... More changes
at the top for the Co-op Group
www.thenews.coop
£4.20
COVER: Co-operation Jackson
The US worker co-op network takes
action on the water crisis in its home city
Read more: p28-29
22-23 MEET ...EDWARD ROSEN
Project director, Lambeth GP Food Co-op
25 WAYS FORWARD CONFERENCE Preview
of this month’s event
26-27 CO-OP HOUSING SYMPOSIUM
Report from the conference of the world’s
housing co-ops in Zurich
28-29 JACKSON’S FIGHT FOR WATER
Co-operation Jackson takes a stand
against infrastructure neglect in the US city
30-43 ENERGY CRISIS
With soaring fuel prices threatening
economies and living standards around
the world, how are co-ops responding?
30-31 ENERGY CO-OPS
Reaction from some key players in the
sector as energy bills soar
32-33 SAVE HEAT, SAVE THE WORLD
Co-ops take the lead in retrofitting the
UK’s draughty housing stock
34-37 CREDIT UNION FRONTLINE
Anca Voinea takes a look at the sector’s
response to the crisis, followed by
analysis from Paul Gosling
38-39 LOCAL SERVES UP SUPPORT
Brighton community pub The Bevy is
stepping up its local support work
40-41 HARD TIMES FOR GROCERIES
Worker co-ops in the independent food
retail sector face a perfect storm of rising
costs and falling trade
42-43 BENEFITS OF CO-OPERATION
A look at what co-ops are doing to help
workers and members through the crisis
44-45 CO-OP GROUP REACHES OUT
A preview of the Join In Live events – in
London, Glasgow and online – where the
retailer will discuss the way forward with
its members
46-48 GAUDI’S CO-OP VISION
The architect, famed for his church
buildings, also designed a community
building for co-op workers in Catalonia
REGULARS
5-13 UK news
14-21 Global news
24 Letters
50 Events
4 | OCTOBER 2022

NEWS
RETAIL
Management shake-up at Co-op Group as food chief Whitfield quits
The Co-op Group has announced a new
leadership structure for its convenience
and wholesale operations.
The announcement comes as Food CEO
Jo Whitfield revealed her decision to leave
the business, after five years in the role
and six years overall at the Group.
Whitfield announced a four-month
career break in February to help her sons
with their GCSEs and A Levels.
Matt Hood, former commercial director
at the Group, will become managing
director of Co-op Food, responsible for
both the commercial and operational
areas of the business.
Michael Fletcher who has led the
Group-owned wholesale arm Nisa, is also
stepping down from his role and Peter
Batt, a former managing director of Coop’s
regional stores in the south, has been
appointed managing director of Nisa.
Group chair Allan Leighton said: “Jo has
decided that this is the right time to move
on and pursue her next challenge.
“During her time with us, Jo has led
a re-invention of our Food business.
She always put colleagues first and
championed colleague safety. She leaves
the Co-op with our warmest wishes and
deepest thanks for everything she has
delivered for our colleagues, members
and customers.”
CEO Shirine Khoury-Haq said: “I wish to
express my thanks to Jo for all that she has
achieved and wish her all the best in the
next chapter of her career.
“I am delighted to announce that Matt is
our new managing director of Co-op Food
with both the commercial and operational
areas reporting into him and he will
ensure we remain leaders in convenience.
p Jo Whitfie d is leaving the Group after ix years
We have an incredibly strong team, an
established position to build from and
the hunger and opportunity to achieve so
much more in the years ahead.”
She added: “Michael Fletcher is also
leaving his role as Nisa CEO in early
October and will then pursue a new career
path, supporting multiple businesses. He
leaves behind a huge legacy.
“Peter Batt will take over from Michael
with immediate effect to allow a managed
handover with Michael. Peter has
extensive experience in retail and trading,
having been our divisional managing
director in the south, and brings with
him both commercial and operational
experience from his roles outside Co-op.
“I have the utmost confidence that Peter
will hit the ground running to support our
Nisa partners.”
Forecourts sold
In other news from the Group, it was
announced at the end of August that it is
selling its petrol forecourt estate to Asda
for £600m.
The transaction, due to complete by
the end of the year, will involve 129 petrol
forecourt sites throughout the UK, which
represents 5% of the organisation’s estate
of 2,564 stores.
“This transaction is in line with our
strategy to move away from operating
petrol forecourts and supports our vision
of ‘Co-operating for a fairer world’ while
building our core leading convenience
business,” said Khoury-Haq.
“I would like to thank our incredible
colleagues in these stores, and we will
work closely with Asda to ensure a smooth
transition.”
Asda will pay £438m in cash and take
on responsibility for the Group’s lease
payments which total about £162m.
Around 2,300 Co-op petrol station staff
will be moved to Asda’s employment.
Asda said the purchase is part of plans
to move into the convenience market,
feeding in to its “long-term ambition
to become the UK’s second-largest
supermarket”.
The Group said the sale of non-core
petrol forecourt businesses will enable it
to “focus on core convenience proposition
whilst significantly deleveraging and
strengthening the Group’s balance sheet”.
It added that proceeds from the sale
will be reinvested in the core convenience
business and its growing wholesale,
franchise and e-commerce operations,
including new stores in the heart of more
communities.
It will also be invested in the
organisation’s pricing, store operations,
technology, and logistics, and support the
reduction of the Group’s net debt.
OCTOBER 2022 | 5

QUEEN ELIZABETH II
Co-ops pay tribute to Queen Elizabeth II
Co-operators in the UK were among those
sending condolences to the Royal Family
following the death last month of Her
Majesty, Queen Elizabeth II.
The Queen, who died on 8 September
aged 96, had visited Rochdale in 1994 for
the 150th anniversary of the founding of
the Rochdale Pioneers’ Toad Lane store.
“The Queen and Prince Philip both
went to the exhibition held at what is now
Touchstones, which was up for the whole
p Home Magazine – Editor’s letter on the
occasion of the Queen’s coronation (Image:
Co-operative Heritage Trust)
year, with information and activities
about the development of the co-operative
movement,” says Gillian Lonergan, co-op
historian. “It was decided that they should
go to Touchstones as there was more space
for people to gather and meet them rather
than at Toad Lane; the necessary security
precautions precluded visiting both sites.”
The Queen also visited Manchester
in 2013, when she officially opened the
Co-operative Group’s new head office at
One Angel Square – which at the time
was the greenest building in the world.
Accompanied by the Duke of Edinburgh,
the Queen toured the building before
unveiling a plaque to mark the formal
opening of the 14-storey building and
signing the visitor’s book. Prince Philip
had opened the CIS building in 1962.
“On behalf of the Co-op Group I would
like to offer our deepest condolences to
the Royal Family, following the news
about the passing of Her Royal Highness,
the Queen,” wrote Group CEO, Shirine
Khoury-Haq, on Twitter. “Our thoughts
are with the Royal Family, and we join
all others who will be reflecting on her
historic reign.”
Tributes were paid by other cooperative
retail societies including
Midcounties Co-operative and Central
England Co-operative, while the Coop
Party announced it would suspend
p The CWS celebrates the Queen’s coronation
(Image: Co-operative Heritage Trust)
all campaign activity and events until
further notice as a mark of respect.
“We are deeply saddened to hear of
the passing of Her Majesty the Queen,”
said Jim McMahon MP, chair of the Cooperative
Party.
“She has served our country with
distinction over the past 70 years, and in
the coming days, our nation will come
together to mourn and remember her
extraordinary contribution to British life. I
send the thoughts and condolences of our
Party and our movement to her family.”
Rose Marley, Co-operatives UK CEO,
said: “Queen Elizabeth II had an affinity
and connection with co-operatives ... Like
co-operatives, Her Royal Highness had
an enduring presence and adaptability -
the ability to reinvent oneself even as the
world transforms around you.
“Her staying power; her dignity; her
quiet effectiveness... Her Royal Highness,
Queen Elizabeth II was a low-key, but
u The Queen opening One Angel Square,
home of the Co-operative Group’s
headquarters, in 2013 (Im age: the
Co-operative Group)
t The Queen on a visit to Rochdale in 1994
(Image: Co-operative Heritage Trust)
6 | OCTOBER 2022

unifying force across the UK. She will be
missed by many but not forgotten.”
It was a co-operative – St Cuthbert’s
Co-operative Association, now part of
Scotmid – which held the royal warrant
for coachbuilding from the mid 1960s,
working on the royal coaches.
And it was a co-operative which
received one of the final Queen’s Awards
issued before she died.
HM Lord-Lieutenant of Hampshire
presented the Queen’s Award for
Enterprise for Sustainable Development
to the Southern Co-op in early September,
on behalf of the Queen, dressed in full
uniform complete with ceremonial sword.
Southern Co-op, which operates
convenience food stores, coffee shops
and funeral services across the south of
England, is currently working to cut direct
and indirect greenhouse gas emissions
from the business by 2030. The work is
supported by the co-op through a climate
action pathway of planned activity and an
initial investment of £5.8m.
The Queen’s Awards, which have been
running for 56 years, give recipients the
ability to use the Queen’s Awards Emblem
for the next five years. Winners were
personally approved by the Queen.
The Co-operative Heritage Trust
has shared a number of items from its
collection to pay tribute, including a
commemorative tin produced by the
CWS Confectionery works to mark her
coronation in 1953, and a special edition
of The Co-operative Home Magazine,
produced by the CWS.
“We are saddened to hear that Queen
Elizabeth II, our longest reigning monarch
has passed away,” said a statement
from the Trust. “We wanted to share
this sentiment from the editor of the Cooperative
Home Magazine in volume 58
published for the coronation in 1953.
‘We respectfully extend to Queen
Elizabeth the Second, the earnest hope that
she will enjoy a long and happy reign in
an era of lasting world peace and human
progress.’
“During the Queen’s reign a lot has
happened in our movement and in the
fabric of the nation. Her Majesty’s passing
marks the end of the Elizabethan era
and as such we would like to extend our
condolences to her family and those in
mourning for their head of state.
“Moments like this bring people and
communities together, which is what our
movement is all about.”
Her Majesty’s
passing marks
the end of an era
... Moments like
this bring people
and communities
together, which is
what our movement
is all about
OCTOBER 2022 | 7

COST OF LIVING CRISIS
Liz Truss announces support measures on energy costs – but could
co-operative values offer more effective solutions?
As the government begins to assemble
support packages for households and
businesses struggling to cope with soaring
energy bills, the co-op movement has
been among those calling for equitable
and effective solutions.
It comes at a critical time for the sector,
with Co-operatives UK, the apex body
for the UK’s 7,000 independent co-ops,
reporting that 25% of its members are
concerned for their survival over the
next 12 months, with 5% approaching
such a crisis point that they could cease
operating within the next three months.
Support measures
With the Conservative leadership question
resolved after a lengthy election process
and Liz Truss moving into Downing Street,
the government announced a freeze
on domestic energy bills and a £40bn
funding package for businesses.
With the business sector urgently
calling for more help, business secretary
Jacob Rees-Mogg announced the Energy
Bill Relief Scheme, which will provide a
discount on wholesale gas and electricity
prices for all non-domestic customers.
This will include all UK businesses, the
voluntary sector – such as charities – and
the public sector, including schools and
hospitals. This support will be equivalent
to measures put in place for households.
Co-operatives UK is writing to Truss
to ensure that the co-op sector is “fully
included and effectively supported in any
action for businesses, along with all other
social enterprise, community businesses
and charities affected by the energy
price shock”. James Wright, policy and
development lead, added that members
are particularly calling for action to limit
prices for non-domestic energy customers.
Wright said: “Our latest data adds
to evidence that to do otherwise risks
a ‘doom-loop’ of destitution, corporate
insolvency, high unemployment and
wasted potential.”
Co-operatives UK surveyed its members
and found that:
• Half of responding co-operatives, which
together employ more than 85,000
people, are severely impacted
p Liz Truss during the leadership campaign (Image: John Snelling/Getty)
• 25% are concerned about their survival
in the next 12 months
• 5% are concerned about their survival
in the next three months
• 28% of co-operatives find their ability
to create value for members/customers/
communities in a financially sustainable
way is severely undermined.
The “ability and potential of these
businesses to create and sustain decent
livelihoods, expand opportunity and
benefit communities across the UK, is
jeopardised,” warns Wright in an online
statement for Co-operatives UK.
“Co-operatives are an essential part of
the social economy our communities rely
on in hard times,” he added. “Of the cooperatives
who tell us they are severely
affected, 60% are currently active in
the mutual aid response to the social
emergency and are looking to ramp up
such activities over the winter, subject to
their own financial sustainability.
“What’s more, co-operatives offer
excellent prospects for growing a stronger,
fairer, greener UK economy. We cannot
afford to lose these co-operatives now. The
new prime minister must take immediate
and effective action to prevent permanent
damage to businesses, including co-ops.”
Rees-Mogg’s announcement of
support for businesses helps to address
these concerns. Tony Armstrong, CEO
of community business support body
Locality, said: “This scheme will help
many local community organisations
facing the double whammy of soaring
energy bills and rapidly rising demand for
their services.
“These are the organisations providing
the essential spaces and support
communities will need to get through this
hardest of winters – everything from debt
advice and health services to a hot meal.
“We look forward to working with
the government to ensure this scheme
continues as the winter progresses. But
this crisis reaches far beyond energy bills
– we need to see targeted grant support
if community organisations are going to
keep playing their essential role on the
front line of this crisis.”
Call for new economy
The Co-op Party has been calling for
government action – and measures that
go beyond financial support to a more
fundamental economic reform.
General secretary Joe Fortune said: “We
are clear about the changes Liz Truss must
make in both the short and long term.
“Our movement and Party are alive
with ideas which will give our country a
better future. Over the coming months and
years, we must campaign for those ideas
and the movement we represent with even
more zeal and energy.”
8 | OCTOBER 2022

He called on the government to tackle
the energy crisis, with “urgent action to
prevent households and businesses facing
unpayable bills come October”.
In the longer term, “actions must include
reforming the ownership of our energy
system at every level, supercharging
retrofitting to make our homes and
businesses more energy efficient, and
creating hundreds of thousands of new
owners of community energy generation
schemes so that our country benefits from
fair and clean energy production.”
Fortune also urged action on the
wider cost of living crisis, with “more
support for co-operative and communitybased
measures to deliver food justice,
increasing emergency support such as the
Household Support Fund”.
He wants the government to “unleash
the co-operative economy”, offering “a
fairer, more resilient way of doing business
– especially in turbulent economic times”.
Reiterating the Party’s goal of doubling
the size of the co-operative economy,
Fortune suggested measures such as
“increasing co-operative development
capacity, reforming legislation holding cooperatives
back, and creating new capital
raising instruments for co-operatives
and new mutual guarantee societies to
support SME lending”.
He also urged the government to
support community ownership as a
means of “tackling inequality, generating
and keeping wealth locally, and taking
ownership of the places, spaces and
decisions that matter to them” through
measures such as a local buy-out fund
and the devolution of levelling up funds
“so that communities don’t need to go cap
in hand to Westminster”.
The Party also made a call for a fairer
financial system. “This must involve steps
to protect vulnerable consumers such as
tackling exploitative ‘buy now, pay later’
providers by facilitating the growth of
not-for-profit micro-loan providers and
facilitating the growth of credit unions.
“We must ensure the wider financial
system reflects our values too, from
supporting the development of regional
banks to ensuring huge multinational
businesses pay their fair share of tax.”
Action in Scotland
The broader crisis facing co-ops and other
businesses has also drawn responses from
the Scottish government.
Agri co-op apex the Scottish Agricultural
Organisation Society (SAOS) warns these
issues are of particular concern to the
farming sector. In its autumn bulletin
for members it said energy costs are just
one of a number of serious problems
threatening food production.
It said the Ukraine crisis has brought
“rising energy prices, acute labour
shortages, challenges to logistics and
transportation, and significant increases
in the cost of raw materials” and follows
hard on the heels of shocks to the supply
chain and barriers to trade from Covid-19
and Brexit. But it said immediate food
resources are secure, noting the Short-life
Food Security and Supply Taskforce set
up by the Scottish government in March
to: “monitor, identify and respond to any
potential disruption to food security and
supply resulting from the impact of the
ongoing conflict in Ukraine”. It produced
a set of short, medium and longer-term
recommendations including the creation
of a Food Security Unit to: “monitor risks,
increase resilience in food production and
respond rapidly to emerging issues”.
SAOS added that co-operation is a vital
tool in building resilience against crisis –
which means that co-ops themselves must
take effective action as well as drawing on
help from government.
“Co-ops and their farmer members are
not immune to supply chain shocks and
will continue to face challenges in the
weeks and months ahead,” it said. “Being
part of a co-op can be of great advantage
in times of crisis however.
“Ensuring the lines of communication
are working effectively within the coop
allows members to feel less isolated
in challenging times. Encouraging
and sharing best practice, such as by
highlighting cost saving measures or
harnessing more innovative practices,
are other ways in which co-ops can bring
additional value to their farmer members
during challenging times.
“Co-ops must ensure they have strong,
two-way communication channels with
their members, and their members must
be receptive to the idea of change.”
Energy bills crisis: 30-43
APPEAL
Co-ops UK urges members to support Pakistan flood appeal
Co-operatives UK is urging its members
to support the Pakistan Floods Appeal,
launched by the Disasters Emergency
Committee (DEC) last month.
The catastrophic floods are thought
to have left a third of the country under
water, killing more than 1,500 people.
More than 33 million people have been
affected by the disaster, which has cost the
country an estimated US$40bn (£35.5bn)
and brought outbreaks of cholera and
other waterborne diseases.
UK co-op retailers, including the Co-op
Group, Midcounties and Central England,
have launched awareness campaigns.
Now Co-operatives UK is encouraging the
wider movement to offer its support. CEO
Rose Marley said: “Despite an incredible
response from the UK public, the flooding
and risk of disease is hugely concerning.
We need to ensure that agencies working
on the ground have all the support they
need to reach those most in need.
“We are also reaching out to co-op
organisations in Pakistan to understand
other ways the UK movement can support
the recovery and rebuild.”
This call out has been coordinated via
the International Co-operative Working
Group (ICWG), made up of representatives
from Co-op Group, Midcounties, Central
England, the Worker Co-op Council, Co-op
News and the Co-op College.
In recent years the UK co-op sector has
raised more than £1m for the Ukraine DEC
Appeal, £100,000 to provide emergency
Covid support to co-ops in India and
nearly AU$100,000 to help co-ops rebuild
after the 2020 Australian wildfires.
You can donate via coop.uk/3TCw39i
Donate by text: Text COOP to 70000 to
donate £10. Texts cost £10 plus standard
network rate. Disasters Emergency
Committee is a registered charity,
no. 1062638. Full T&Cs on text at
dec.org.uk
OCTOBER 2022 | 9

POLITICS
Co-op movement urged
to back co-ops and
mutuals bill ahead of
second reading
Co-operators are being urged to voice their
support for the Co-operatives, Mutuals
and Friendly Societies Bill, which is due
for its second reading in the House of
Commons on 28 October.
The private members’ bill, which passed
its first reading on 15 June, was developed
by advocacy organisation Mutuo and
Preston’s Labour and Co-operative MP,
Mark Hendrick, and covers four key
areas of reform long sought by the co-op
movement.
Firstly, it would make changes to share
capital arrangements for co-ops, enabling
p Mark Hendrick
them to raise more money through
perpetual, non withdrawable shares.
The bill’s campaign website states that
“co-operatives are at a disadvantage to
their shareholder-owned competitors
in relation to how they raise and retain
capital”, and that “further legislative
reform is now needed in the UK, so cooperatives
have new options to access the
finance capital that they need for growth.”
The bill would also confirm that mutual
insurers and friendly societies that issue
mutuals deferred shares would not be
disproportionately impacted when paying
corporation tax. The Mutuals’ Deferred
Shares Act was passed in 2015, allowing
mutual insurers and friendly societies to
issue share capital for the first time.
An option for legacy reserves to be made
indivisible for co-ops, mutual insurers
and friendly societies is also proposed as
a disincentive to demutualisers. The bill’s
website references the recent attempt
Image:iStock
to demutualise LV= in its argument for
the provision: “As witnessed with LV= in
2021, mutuals remain a target for assetstripping
demutualisers, attracted by the
legacy assets built up over generations,”
adding that legislative safeguards such
as this would “disincentivise asset raids,
and help to preserve mutual ownership
and corporate diversity”. Most co-ops
currently include non-distributable
capital surplus provisions in their rules,
but according to a statement made by
Co-operatives UK, this often falls short of
the permanent legal guarantee sought by
co-op investors.
Also included in the bill are changes
to the Friendly Societies Act 1992, which
the campaign says is “desperately out
of date in a number of areas”, imposing
“unnecessary restrictions on ambitious
friendly societies and … problems that
the Companies Act has overcome in the
intervening period”.
SAOS calls on Scottish government to include co-ops in farming reform
In its autumn update to members, the
Scottish Agricultural Organisation Society
(SAOS) has given a mixed response to
progress on the Scottish government’s
agriculture bill.
The bill is looking to create a post-Brexit
framework for the agri sector, with farmers
taken out of the Common Agricultural
Policy (CAP) and its system of subsidies.
The plan is to introduce payments and
schemes that are developed in Scotland
for Scottish farming, rather than being
rooted in CAP legacy policies.
SAOS, the umbrella organisation
for Scotland’s agri co-op sector, sits
on Scotland’s Agricultural Reform
Implementation Oversight Board (ARIOB)
and says it is pushing for “quicker, bolder
reforms that will encourage more cooperation
and support co-op business
operations”, adding: “We are gaining
traction but progress is slow.”
It says that thanks to its input there are
positive signs, with co-ops “specifically
referenced as entities that could be
eligible recipients of support”.
The consultation also acknowledges
that new specific funding mechanisms
for the agri-food sector will be necessary
including financial support for “Agri-food
co-operation”.
SAOS adds that the consultation refers
to co-op working in terms of optimising
collaboration and knowledge exchange,
and there is also mention of collaboration
within wider rural development.
“These may appear only to be small
wins,” it says, “but if these elements are
enshrined in the enabling legislation then
this becomes the skeleton upon which
co-operation supportive schemes and
funding can follow.
“We urge all our members and
stakeholders to participate in this
consultation and provide proactive
feedback on these and other areas that
underpin a new, positive future for
co-operation and co-op businesses.”
10 | OCTOBER 2022

COMMUNITY
Residents add a church and WMC to the community ownership
Locals in Harrogate and Kingsley Holt,
Staffs., have added to the UK’s family
of community businesses by banding
together to buy treasured social hubs –
both using loan support from Co-operative
& Community Finance (CCF).
One of the sites is High Harrogate
Working Men’s Club, in North Yorks.,
which will be fully restored and renovated
on the ground floor and exterior, with the
first and second floors redeveloped to
create six residential apartments.
Established in 1889, the club was
registered as a co-op in 2019 and is now
converting to a community benefit society
to reflect the breadth of its services.
Renamed High Harrogate Bar and Lounge,
it is planning to rejuvenate facilities
for local clubs such as judo, Pilates,
meditation and indoor sports, and offer
a modernised function room for events,
parties and live music.
Kevin Lloyd-Evans, lending and
relationship manager at CCF, said: “Being
able to respond to access to finance
challenges is paramount to our work.
We support membership organisations
which are democratically controlled
and collectively owned. This is a brilliant
start as we now look to support other
p High Harrogate Bar and Lounge and (below) members of Kingsley Holt Centre
working men’s clubs across the country.”
Meanwhile, residents of Kingsley Holt,
a village near Cheadle, Staffs., have come
together to save and repurpose their local
Methodist chapel as a community centre
with a meeting space, shop and café.
The church closed for regular worship
in 2019 due to a dwindling congregation.
Opened in 1937, it was an important focal
point for the community and its trustees
asked residents to find alternative uses
for it. Locals responded by managing
activities and hiring the building out
for events but in May 2021 the trustees
announced it was to be sold. Locals
– who had already lost the village’s
last remaining shop – responded by
registering it with the local council as an
Asset of Community Value. Soon after,
Kingsley Holt Centre was registered as a
community benefit society.
With its CCF loan topping up investment
from more than 120 members through
a community share offer, the society
completed the purchase on 5 September
and is drawing up plans to change the
internal layout, with a meeting space,
shop and café.
Martin Wheeler, chair of Kingsley Holt
Centre, said: “We had to do an amazing
amount of research. We visited other
groups for advice and on one of these
visits CCF was recommended to us. From
the very first contact it was evident that
this was an invaluable recommendation.
Kevin worked very closely with us on this
project, providing advice, information
access to funding in addition to loans.”
Power to Change helps community land trust develop new housing
A community land trust in Hastings, east
Sussex, is turning derelict buildings into
rent-capped homes and workspaces.
White Rock Neighbourhood Ventures
(WRNV) says its goal is to create affordable
spaces for living, working and community
activity. It is a partnership between Jericho
Road Solutions, Meanwhile Space and the
Heart of Hastings Community Land Trust.
“Our capped rents are really important
to us,” says James Leathers of the Heart
of Hastings Community Land Trust.
“They will mean that a broad diversity of
people will still be able to live and work
in the centre of Hastings as the area starts
to gentrify.”
Awarded £75,000 from community
business charity Power to Change, the
project is centred on two large buildings:
Rock House – a nine-floor mixed-use
community hub that is already thriving –
and the Observer Building, which is a
work in progress. These buildings fall
under a wider project known as the
Hastings Commons.
“Hastings Commons is an ecosystem of
connected organisations that approach
local regeneration differently,” says
Caoimhe O’Gorman, the engagement
manager for Heart of Hastings CLT. “Our
mission is to bring property into long-term
community ownership with affordable
rents in the control of residents.”
OCTOBER 2022 | 11

HOUSING
UK’s first virtually plastic-free homes to be run by housing co-op
A co-op housing development has been
completed in Redditch, Worcs., using lowcarbon
and minimal plastic materials.
Developer GreenSquareAccord says it is
the first of its kind in Europe when it comes
to building with plastic alternatives.
The Pioneer Housing Co-operative
development, on the site of a former
factory car park in the town centre, is
offering 12 one-bed apartments to be
managed by Redditch Cooperative Homes.
Residents were recruited early in the
process and have had the chance to
personalise their homes, which have
been built using GreenSquareAccord’s
low-carbon manufacturing facility, LoCaL
Homes. The apartments feature plasticfree
finishes such as mineral-based wire
insulation, wooden kitchen units and
aluminium window frames.
There are some elements of construction
that could not be sourced without plastic.
For safety reasons, the outside cladding is
made of a cement mixture which includes
plastic as a binding agent, and some
fixtures such as the electricity meters
could not be made plastic-free.
The developer‘s assistant director of
new business, Carl Taylor, said: “Although
challenging, this project demonstrates
what is possible and sets a new threshold
in the sector for sustainable building. Our
aim is to influence others to embrace our
approach and remove the plastic elements
from their builds, helping to create a more
sustainable building sector.”
Tenant David Trevitt said: “I can’t wait
to move in – the peace and independence
this will bring will make a massive
difference to my life. As I have disabilities,
this place is perfectly suited to me as it
is on the ground floor and close to town
and the shops. I can appreciate that the
apartment is plastic-free and I’m looking
forward to the benefits of lower fuel bills.”
Image: GreenSquareAccord
The £1.37m project received £830,631
from the Interreg North West Europe
funding partnership to allow the plastic
reduction efforts to be researched during
construction.
It is also part of the Circular Housing
Asset Renovation and Management
(CHARM) partnership, involving
representatives from France, Belgium and
the Netherlands and the UK, including
Redditch Borough Council.
The £35m regeneration of Redditch
town centre will see the co-op double in
size, providing over 200 homes for new
members over the next 18 months.
RETAIL
Unicorn refines its recipe for a worker-owned grocery
Manchester co-op grocery Unicorn has
launched an updated version of its guide
to setting up a co-operative food store.
The Grow a Grocery guide – released
in 2010 to help those starting a new shop
or developing an existing one – is being
updated to include new resources and a
fresh design.
Unicorn, established in 1996, has no
plans to expand beyond its existing
shop, focusing instead on enabling the
development of more worker-owned food
co-ops around the world.
“We’ve always had a mission to create
social and environmental change,” says
Unicorn’s Debbie Clarke, “and part of that
is sharing what we know.”
Unicorn’s guide includes a run-through
of the 10 key areas of its business,
including people, planning, produce,
premises, practical resources, procedures
and pricing, promotion and policies,
and principles. An accompanying set
of resources includes sample policies,
supplier lists and rotas.
Updates include new tools and systems
from the sociocratic governance model, as
well as learnings from the Barefoot course
for Co-op Developers.
“We know the guide in its original form
has been useful to hundreds of enterprises
all over the world,” said Debbie, “but
things change over time and we wanted
to keep it relevant and a living resource.
We’re learning constantly, so although
the core model remains the same, we’ve
developed and grown a lot in the years
since we wrote it.
“Of course, the food retail landscape
has changed too, so we hope that’s been
reflected.”
The guide has been used by a range of
different businesses since it was originally
developed with the support of Sustain and
its Big Lottery-funded Food Co-ops and
Buying Groups project.
Download the guide at bit.ly/3R4wtTt
12 | OCTOBER 2022

COST OF LIVING CRISIS
Conference to look
at community wealth
building in lean times
The Centre for Local Economic Strategies
(CLES) says its annual conference will
challenge local government leaders to
learn from the cost of living crisis and put
community wealth building into practice.
The Community Wealth Building
Summit will gather delegates from
the public, private and community
and voluntary sectors at the Library of
Birmingham on Friday 18 November, from
9.30am – 4pm.
It says the summit, which will be
preceded by a series of optional webinars
to introduce the key concepts of the model,
is “the flagship event for progressive local
economic approaches in the UK and the
only conference dedicated to uniting,
informing and inspiring the community
wealth building movement”.
This year it will “examine how
community wealth building can be used
to diagnose the disfunctions that long
predate this summer’s lack of leadership
on the cost of living crisis and redesign
our local economies accordingly”.
CEO Sarah Longlands (pictured) said:
“The cost of living scandal is savagely
highlighting where local economies are
failing local people. We can no longer afford
to repeat the mistakes of the past. Now is
the time to be brave. In recent years we’ve
seen economic development practice start
to make the right noises about building
more inclusive local economies.
“The scale and the urgency of the
challenges we now face mean we need
to ask hard questions about whether this
shift will be sufficient. The summit will
provide the inspirations and tools to not
only survive the coming storm, but to
think differently and put this new thinking
into action.”
Scotmid competition on the hunt for local produce
Scotmid Co-op has teamed up with
industry body Scotland Food & Drink for
a second year to give local producers the
chance to win one of five promotional
listings across its stores.
The competition is open to all Scottish
food and drink suppliers across different
product categories.
Worker co-op federation to rally support with webinars
Workers.coop, the new federation for
worker co-ops in the UK, has begun
its mobilising phase, and is running
fortnightly webinars for people to “hear
updates, feed in and join in”. The next are
on 7 October and 21 October (1-2pm), with
an in-person meeting also planned for the
21st. For more information and links, visit
workers.coop/events
Samaritans ‘stunned’ by donation from Tamworth Co-op
The director of Tamworth Samaritans says
she is overwhelmed by a £5,000 donation
to her branch from Tamworth Co-op’s
Community Dividend Fund.
The grant is the largest ever handed
out from the co-op’s community support
scheme, which distributes a five-figure
sum to local causes each year.
Southern Co-op joins Somerset Wildlife Trust
Southern Co-op has joined Somerset
Wildlife Trust as a corporate member, as it
continues its environmental sustainability
strategy. Its support will help the Trust
to build a Nature Recovery Network
across Somerset and engage with local
communities, helping them to develop
the skills and expertise needed to take the
lead in caring for their local environment.
East of England hands out £10k to community causes
East of England Co-op has paid out more
than £100,000 via its Community Cares
Fund to 26 organisations across Norfolk,
Suffolk and Essex. Grants between £1,000
and £5,000 and are expected to benefit
4,757 local people. Recipients include
Disability Advice North East Suffolk, a
support charity run by disabled people,
for disabled people and their carers.
SEPTEMBER 2022 | 13

GLOBAL UPDATES
EUROPE
Co-ops respond
to Ursula von der
Leyen’s State of the
Union Speech
European Commission president Ursula
von der Leyen delivered her State of the
Union Speech to the European Parliament
on 14 September in the presence of
Ukraine’s first lady, Olena Zelenska.
Von der Leyen highlighted the key
challenges and priorities for the EU,
particularly around the energy crisis,
suggesting measures such as a cap on
the revenues of companies that produce
electricity at a low cost, establishing
a new benchmark for the gas market,
reforming the electricity market, investing
in renewable energy and creating a
European Bank for hydrogen.
She also mentioned how workers at
Italian co-op Ceramiche are saving energy
by starting work at six in the morning to
use sunlight and to avoid turning on fans.
And she announced the launch of an
SME Relief Package, a measure welcomed
by sector apex Cooperatives Europe.
“This year, we will be expecting an
SME relief package with a proposal for
a single set of tax rules called BEFIT,”
said a Cooperatives Europe statement.
“While promoting an enabling business
environment is strongly encouraged,
we remain more cautious on the fiscal
aspect. Co-operatives’ fiscal treatment
varies between member states and reflects
co-operatives’ specific principles and
differences in management logic. Work
on that topic will require a thorough
stakeholders’ consultation, of which we
stand ready to be part.”
Cooperatives Europe also approves of the
Commission’s initiatives around skilling
and re-skilling the workforce. “As the
Commission announced 2023 to become
the European Year of Skills, we hope to see
this momentum used to better promote
co-operative entrepreneurship in higher
education and management training,”
it said.
The apex added it will continue to
engage with the EU institutions. Upcoming
European initiatives include the council
recommendation establishing framework
p Ursula von der Leyen delivered her State of the Union Speech in the European Parliament on
14 September (Image: EU)
conditions for the social economy, the
transition pathways and the work on
sustainable corporate governance, all of
which could impact co-ops.
The European Confederation of
Industrial and Service Cooperatives (Cecop)
also welcomed some of von der Leyen’s
announcements but said it regretted the
omission of the social dimension.
“In the 2022 State of the Union
address, the Commission president
has made important commitments to
relieve economic pressure on European
businesses and citizens, which Cecop
welcomes,” said the organisation’s
president, Giuseppe Guerini.
“Unfortunately, little has been said on
the social dimension of the EU. Support
for social cohesion is essential to building
the EU’s resilience and social economy
actors, including co-operatives, are key
stakeholders in this.”
A statement from Cecop added: “The
crises currently facing the EU require it to
step up and deliver direct, immediate and
broad actions to promote social cohesion.
Social justice and social peace will be
key to the upcoming European elections.
Quality working conditions will be key to
tackle staff shortages, and to contribute to
resilient and sustainable development of
the European economy.
“Cecop hopes to see social policies, the
European Pillar of Social Rights and the
implementation of the Social Economy
Action Plan high on the working agenda
of the Commission for 2023.”
The organisation welcomed the promise
of support for companies and citizens
who are struggling with the increased
energy prices, and the EU’s commitment
to ensure accessibility of critical raw
materials, but added that the announced
SME relief package must be fully available
to co-operatives across the EU.
“Our industry co-operatives, in
particular, are key partners for the EU
on its way to develop a more sovereign
economy and to advance with the just
digital and green transition mentioned
by the Commission president. But they
face a number of challenges that must be
tackled urgently,” it said.
Cecop also welcomed the Commission’s
commitment to come forward with new
ideas for the EU’s economic governance
in October: “We expect these new rules
to move away from the focus on austerity
and to facilitate strategic investment by
the member states in order to address
outstanding social and economic
challenges and to promote a fair digital
and green transition.”
With the Year 2023 being declared the
European Year of Education and Training,
Cecop pointed out that skills development
is essential for the future of European
workers and businesses, in particular
SMEs.
“Co-operatives both invest in their
employees’ reskilling and upskilling, and
benefit from broader skill development
measures. This is why Cecop has
already joined the Skills Partnership
for the Proximity and Social Economy
ecosystem,” it said.
14 | OCTOBER 2022

EUROPE
EU Care Strategy package recognises co-operatives
The European Commission presented a
European Care Strategy which suggests
concrete actions for member states to
increase access to high-quality and
affordable care services, while improving
working conditions and work-life balance
for carers.
Published on 7 September, the strategy
is accompanied by two proposals for
Council recommendations on long-term
care and early childhood education and
care; and recognises co-operatives as
major partners for public authorities in
the provision of long-term care.
The Commission points out that 90%
of the formal care workforce is made
up of women, and 7.7 million women
are out of employment because of care
responsibilities. To address this, it
suggests a number of actions, including
revising the targets on early childhood
education and care to enhance women’s
labour market participation, also called
‘the Barcelona Targets’, set in 2002.
Commissioner for Jobs and Social
Rights, Nicolas Schmit, said: “The
European Care Strategy is about putting
people first. The EU recognises the value
of care work, which must be reflected
in better working conditions and pay.
People in need of long-term care must be
guaranteed access to affordable services
of good quality so they can live a dignified
life. I hope that this strategy will result in
care – both professional and informal –
being given the respect and investment it
deserves.”
The European confederation of
industrial and service cooperatives
(Cecop) welcomed the adoption of the
strategy and the related policy initiatives.
Cecop notes that the strategy
acknowledges the contribution of cooperatives
as “important partners for
public authorities in the provision of
long-term care” and the fact that “social
economy actors bring an added-value to
the provision of high-quality care services
due to their person-centred approach
and the reinvestment of profits into their
mission and local communities”.
Another provision welcomed by Cecop
is the acknowledgment that policy and
legal frameworks should create the right
environment for the social economy to
optimise its contribution to care services.
The apex also views favourably the
recommendation that member states
include quality criteria in public
procurement. “The systematic use of
socially responsible public procurement
could boost the potential of social
economy to contribute to high-quality
standards in care and to provide fair
working conditions”, reads the strategy.
Cecop argues this provision will help cooperatives,
as organisations that prioritise
quality over profit in employment
conditions and care provision.
In recognising the importance
of accessible digital transition and
technological innovation, the strategy
mentions CGM, the main Italian
consortium of social co-operatives, as
a best practice in increasing access to
long-term care via digitalisation. The
consortium provides care services via
digital platforms.
Giuseppe Guerini, the president of
Cecop, said: “In many cases, co-operatives
have created services where there
were none, and made investments and
promoted social solidarity at a time when
no one was talking about social impact
investments. They have created a new
model of enterprises (social co-operatives)
and hundreds of thousands of jobs. This
is why we believe it is important that in
the implementation of the European Care
Strategy the key role of social economy
organisations – and first of all social and
health co-operatives – are recognised.”
To achieve further progress, Cecop
Image: GettyImages/MarcBruxelle
recommends the Commission and EU
member states consider:
• prioritising long-term investment and
sustainable funding for care providers
that respects the co-operative model
and ensuring that co-operatives are
eligible for all relevant EU and national
funding
• more favourable state aid rules and a
higher de minimis threshold for the care
sector
• an effective shift towards a more
integrated public-private partnership
model, based on a joint analysis of
community needs and long-term
planning of services by care providers,
authorities and other stakeholders
• EU financial instruments for digital,
technological and social innovation
in the care sector are essential but
policy attention to that field should be
increased, in particular on the side of
the member states.
• stepping up investments in care
infrastructure
• promoting and supporting communitybased
care model among the member
states.
Cecop says it expects to “engage in
further dialogue with the Commission
and our members in the member states
on implementation of the care strategy
package” and is “committed to sharing
expertise from our network”.
The Commission’s proposals for Council
Recommendations will be discussed by
member states with a view to adoption by
the [European] Council.
OCTOBER 2022 | 15

FINLAND
Tech co-op given state funds for digitisation project
The Finnish government has awarded a
€3m (£2.6m) grant to Findynet Cooperative
for a pilot project aiming to build a selfsovereign
identity network.
The initiative seeks to further encourage
Finland’s digitisation while supporting
the emergence of investments in new
digital services. The co-op will use the
money to develop a common and secure
network of verified data to stimulate
electronic transactions.
Such a network would allow individuals
and organisations to share information
such as certificates, electronic receipts,
credit information and proof of
professional qualifications in a way that
protects their privacy while boosting
trust in transactions. Furthermore, digital
wallets developed by different service
providers would be interoperable and
work seamlessly for both organisations
NORWAY
Coop Norway
reduces food waste
through partnership
with Too Good to Go
Retailer Coop Norway says it has
distributed 550,000 bags of surplus food
using the mobile app Too Good to Go.
The co-op began rollout of the initiative
in autumn 2021, enabling customers
to buy food items cheaply that would
otherwise be thrown away. It is part of the
retailer’s plans to reduce food waste by
30% by 2025.
“It has quickly become a very popular
offer among our customers, and it feels
good to know that the goods are being
sold and eaten,” said Håvard Jensen,
director of Chains at Coop Norge.
“Our customers, who are also our coowners,
are concerned with sustainability
and are becoming increasingly aware of
throwing away less food.”
Jensen described how the collaboration
with Too Good To Go is expected to
reduce the co-operative’s food waste by
approximately 6% in 2022. “This is just
one of several important steps on the
way to our vision for zero food waste,”
he added.
Image: GettyImages
and individuals. Users would also be able
to manage their own data and decide what
information they share about themselves
with different parties.
“We are very happy to have received
this government grant, which allows us to
Near the shop’s closing time the leftover
food is packaged by Coop Norway
staff in surprise bags and made available
in the Too Good To Go app. Customers can
then buy the bags for around one third of
the full price.
“The customers appreciate that they
can get a full range of groceries. A bag can
contain baked goods, fruit and vegetables,
fish and meat, dry goods, cold cuts and
dairy products that we are not allowed to
sell at full price due to shelf life, cosmetic
defects or the like,” said store manager
Joakim Nilsen for Extra Iseveien in
Sarpsborg, the Coop Norway grocery store
to have sold the most bags through Too
Good To Go.
All 804 Coop Norway stores have a
profile on the Too Good To Go app.
A social enterprise, Too Good to Go
was founded in Denmark at the end of
2015 by a group of friends seeking to
reduce food waste. Since then a number
of co-operative retailers have joined the
initiative, including the Southern Cooperative,
the Midcounties Co-operative,
the Central England Co-operative and the
Heart of England Co-operative in the UK,
Coop Netherlands, the Dill Pickle Food
Co-op in Chicago and Coop Denmark.
“Together with our app users, the Coop
[Norway] stores make a big effort to ensure
continue our long-term work with public
and private sector actors and build a trust
network covering all of society,” said
Markus Hautala, chair of Findynet and
head of digital identity at Tietoevry.
Findynet is a co-operative of nine
public and private sector organisations:
Kela, Posti, Tietoevry, OP group, Nixu,
Nordea, Vastuu Group, Finanssiala
and Technology Industry. Its customers
are public and private sector service
providers that utilise the network and
provide digital wallet services to end
customers.
The self-governing identity network
would also be compatible with the EU’s
eIDAS Regulation (EU) No. 910/2014,
which regulates cross-border electronic
identification and electronic trust
services. eIDAS is being amended to
regulate European wallet applications.
p Customers can buy the bags for around one
third of the full price (Image: Coop Norway)
that the food they have left at the end of
the day is eaten and does not end up as
waste”, said Johan Ingemarsson, general
manager of Too Good To Go.
“The environmental benefit of the
550,000 bags of surplus food saved so
far corresponds to 1,375 tonnes of CO2
equivalents. With this, we have saved the
world from emissions equivalent to flying
271 times around the world.
16 | OCTOBER 2022

USA
Co-op leaders given new places on two federal committees
Co-op leaders have been given places on
two federal committees, set up by the
Department of Agriculture (USDA) and
Department of Energy.
In August, USDA announced a new
Equity Commission Subcommittee on
Rural Community Economic Development,
which includes representatives of
community-based organisations, lending
institutions, small businesses, tribal
entities and the Equity Commission.
Among the 12 are Doug O’Brien,
president and CEO of national co-op apex
NCBA CLUSA; and Curtis Wynn, CEO of
SECO Energy, an electric co-op serving
more than 200,000 member-owners in
Central Florida.
“USDA is committed to ensuring
that the underserved communities
and populations that have been
disproportionately impacted by the
effects of economic and environmental
shocks are prioritised,” said agriculture
secretary Tom Vilsack. “The diverse
perspectives and expertise of the new
subcommittee members will be critical to
ensuring the Commission’s discussions
p Curtis Wynn, Doug O’Brien will work with the USDA and Louis Finkel with the Energy Department
and recommendations are balanced,
insightful, and project the desired equity
outcomes for everyone.”
“It is an honour to serve with such an
excellent group of rural leaders,” said
O’Brien. “The work of the commission
ensuring greater equity in USDA
programmes is crucial for all people in
rural communities.”
Meanwhile, Louis Finkel, senior vice
president of the National Rural Electric
Cooperative Association (NRECA) has
been appointed to serve a two-year term
on the Energy Department’s Electricity
Advisory Committee (EAC).
The EAC’s role is to help department
define a strategy to modernise the
country’s electricity infrastructure.
Finkel, who will give input on issues
such as smart grid technologies, energy
storage, renewable energy resource
system integration, and new transmission
infrastructure, said: “I’m honoured to
be able to serve as a voice for America’s
electric co-ops as the nation works toward
a future that depends more on electricity
to power the American economy.”
Also serving is Clay Koplin, CEO of
Cordova Electric Cooperative in Alaska,
who was recently reappointed.
South Dakota Hutterian Co-operative in dispute with authorities
The South Dakota Public Utilities
Commission has filed a complaint against
the South Dakota Hutterian Co-operative
arguing that the co-op has been operating
as a grain trader without a license.
Filed on 15 July, the complaint points out
that the co-op has never held a grain buyer
license from the Commission, despite
acting as a grain buyer and adds that the
co-op requires a license and bond in order
to buy grains from individual farmers.
“The manner in which SDHC conducts
business is not different from any other
co-op. Co-ops by their nature operate and
exist for the benefit of their members.
This does not exempt co-operatives from
licensing laws. In fact, this Commission
issued some 85 grain buyer licenses for cooperatives
for this licensing year,” argues
the complaint, adding that the co-op “has
not been receptive to requests to become
properly licensed and bonded”.
Despite applying for a license after
the complaint had been filed, the coop
asks not to have to comply with state
regulations on financial reporting for
grain dealers. According to AG Week,
the co-op’s attorney Julie Dvorak told a
meeting of the Public Utilities Commission
on 30 August that compliance would come
at a significant extra cost to the co-op and
its members.
She argued that as a co-op only open
to Hutterites, a Christian faith whose
adepts practice a near-total community
of goods, the reporting requirements were
unnecessary. She added that producers
were always paid and explained that the
co-op had a bookkeeper and an accounting
firm who deals with tax reporting.
The co-op has obtained a 90-day
temporary exemption to enable it to cope
with the busy harvest season but it will
have to comply with the requirement at
the end of the period.
Commission chair Chris Nelson told
the co-op’s representative that making an
exception in the case of the co-op would
lead to other requests for exemptions,
reports AG Week.
OCTOBER 2022 | 17

INDIA
RBI revokes licences of two co-op banks as 15 more are fined
Deccan Urban Co-operative Bank and
Rupee Co-operative Bank had their
licences revoked by the Reserve Bank of
India (RBI) in August. RBI also issued fines
to 15 urban co-operative banks (UCBs).
RBI released a statement cancelling
Rupee Co-operative Bank’s licence on
10 August, on the grounds that it “does
not have adequate capital and earning
prospects”, meaning they would be
unable to pay present depositors in full.
RBI described the continuance of the
bank as “prejudicial to the interests of its
depositors”, and not in the public interest.
Rupee Co-operative Bank ceased trading
on 22 September.
Deccan Urban Co-operative Bank’s
licence was revoked eight days later for
the same reasons, and has ceased trading.
RBI also issued fines of Rs 10.00
lakh (£10,832) each to: Bharat Heavy
Electricals Employees’ Co-operative Bank
for not adhering to directions regarding
exposure norms or other restrictions;
Darussalam Co-operative Urban Bank for
the violation of directions issued under
income recognition, asset classification,
provisioning and other UCB related matters,
as well directions regarding its board of
directors; Nellore Co-operative Urban
Bank for issuing loans to directors or their
p RBI has an enforcer role
relatives and firms and violating directions
regarding exposure norms; and Kakinada
Co-operative Town Bank for not adhering
to directions regarding the establishment
of a depositor education and awareness
fund, as well as violating directions
issued under income recognition, asset
classification, provisioning and other UCB
related matters.
National Urban Co-operative Bank
was fined Rs 5.00 lakh (£5,416) for noncompliance
with RBI’s directions on
income recognition, asset classification,
provisioning and other related matters for
UCBs, as was The Ottapalam Co-operative
Urban Bank for contravening the same
directions as well as the Know Your
Customer (KYC) guidelines for urban coop
banks. KYC guidelines are in place to
prevent money laundering.
Kendrapara Urban Cooperative Bank
received a Rs 1.00 lakh (£1,083) fine for
also contravening the KYC directions.
Visakhapatnam Co-operative Bank was
fined Rs 55.00 lakh (£59,552) for violation of
directions relating to income recognition,
asset classification, provisioning and
other related matters, as well as finance
for housing schemes.
These penalties come after seven other
co-ops received monetary fines earlier in
August for a range of direction violations.
Thodupuzha Urban Co-operative Bank
has had restrictions placed on its activity
for a six month period from 23 August, due
to its liquidity position.
Customers are no longer able to
withdraw funds from the bank, and
Thodupuzha is prohibited from accepting
new deposits, granting or renewing loans
or making any new investments without
prior approval from RBI. A further four
UCBs have had existing restriction periods
extended.
This kind of action from RBI has become
a regular occurrence for India’s co-op
banking sector in recent years. In 2020,
UCBs were brought under the supervision
of the RBI, giving it the power to audit coop
banks as well to approve mergers and
the appointment of CEOs.
SINGAPORE
FairPrice Group to implement Progressive Wage Model
NTUC FairPrice Group is implementing
a wage structure to help increase the
salaries of workers through upgrading
skills and improving productivity.
The retailer is following the Progressive
Wage Model (PWM), which was developed
by a committee of unions, employers and
the Singaporean government.
The initiative will cost the group S$70m
(£43m) over a three-year period. FairPrice
says the measure will increase the wages
of non-executive staff, who make up 75%
of its total workforce, to a level in line with
their roles for their respective industries.
CEO Vipul Chawla said: “Our staff
are our most important asset and we
value their dedication and service. We
want to move forward as one team and
are therefore going the extra mile and
extending the initiative beyond our retail
business to include employees across all
our various businesses in FPG.
“While companies have six months to
work on the implementation of PWM, we
expedited and implemented it right from
the get-go, despite rising cost pressures
and inflation, as we believe that a
motivated and empowered workforce will
deliver the best care for our customers.”
The implementation began on 1
September and will benefit 10,000 nonexecutive
staff including full-time and
part-time employees, regardless of
nationality.
The group consulted with the Food,
Drinks and Allied Workers’ Union
(FDAWU) ahead of the rollout.
“It was indeed a pleasure working with
FPG to roll out the PWM for the benefit of
employees in FPG’s retail, food services
and supply chain operations. We look
forward to our continued partnership to
do well, do good and do together for our
workers,” said Tan Hock Soon, general
secretary, FDAWU.
18 | OCTOBER 2022

NEW ZEALAND
Fonterra rethinks sale of Australian arm after strong annual results
Dairy co-op Fonterra hailed a “strong set of
results” for the year to 31 July, with group
revenue up 11% to NZ$23.4bn (£12.1bn).
Total group normalised earnings
before interest and tax (EBIT) was $991m
(£514m), up 4%; normalised profit after
tax rose 1% to $591m (£306m).
The co-op said it was rethinking plans
to sell its Australian business. CEO Miles
Hurrell said his team had looked at a
number of options and “decided it’s in
the co-op’s best interests to maintain full
ownership”.
Plans to sell Fonterra’s Chilean
business, Soprole, will still go ahead.
Fonterra says its results reflect a 2021/22
farmgate milk price of NZ$9.30 per kgMS.
With a total dividend of 20 cents per share
to fully shared-up farmers, the final cash
pay-out for farmers is $9.50.
CEO Miles Hurrell said that despite the
increased costs associated with supply
chain volatility, 2021/22 had been a good
year for the co-op.
“This year’s higher Farmgate Milk Price
is the strongest it has ever been, which is
great news for our farmers. New Zealand
also benefits from this, with $13.7bn
returned into the economy in milk price
payments alone this year.”
Looking at the reprieved Australian
venture, Hurrell said: “Australia plays
p Fonterra is owned by 10,500 d airy farmers in New Zealand
an important role in our consumer
strategy with a number of common and
complementary brands and products
and as a destination for our New Zealand
milk solids.
“The business is going well, and it will
play a key role in helping us get to our
2030 strategic targets.”
Hurrell said the performance was
helped by robust demand for dairy
and strong margins in the ingredients
channel , although higher milk prices had
tightened margins.
He said he was pleased with progress on
Fonterra’s new business strategy, capital
restructure and sustainability efforts,
adding: “A globally competitive farmer
owned co-op is in the best interests of the
dairy industry, rural communities and
New Zealand.
Fonterra has announced a forecast
2022/23 Farmgate Milk Price range
of NZ$8.50–$10.00 per kgMS, with a
midpoint of NZ$9.25 per kgMS.
“The longer-term outlook for dairy
remains positive,” added Hurrell. “In the
medium-term, we expect to see an easing
in some of the geopolitical events, namely
the Covid-19 lockdowns in China and the
economic challenges in Sri Lanka.”
USA
NCBA CLUSA
launches co-op
development scheme
for underserved farmers
US co-op apex NCBA CLUSA has
announced a new development project to
increase the capacity of local agricultural
production in rural America.
The project will provide technical
assistance and training to “historically
underserved” farmers and ranchers –
including those who are starting out,
those with limited resources, veterans and
socially disadvantaged producers.
NCBA CLUSA is inviting suitable
vendors to submit quotes of up to
US$100,000 (£88,800) for technical
assistance, including research, resources
and delivering online events and training.
It is also seeking applications for small
grants to support this work. Eligible
organisations can apply for up to $20,000
(£17,700) to carry out a range of activities
such as outreach, technical assistance,
co-op development training and support,
financial training, capacity building
training and rural development to
underserved farmers, ranchers and forest
landowners.
The programme is being delivered in
partnership with the US Department
of Agriculture’s American Rescue Plan
Technical Assistance Investment (ARPTAI)
Program, set up to increase understanding
and participation around the USDA’s
services in underserved farmers, ranchers,
forest land owners and operators.
NCBA CLUSA expects to offer these small
grants every year for the next five years,
in line with the activity of the ARPTAI
funded ‘Strengthening Co-op Capacity for
Historically Underserved Farmers’ project.
The apex says the programme will
“cultivate a community-led co-operative
development ecosystem to invest in
agricultural communities, address their
needs and transform America’s food
systems”.
OCTOBER 2022 | 19

AUSTRALIA
BCCM announces speakers for co-op leadership summit
The first speakers have been announced
for the Leaders’ Summit and Industry
Dinner, organised by the Business Council
for Co-operatives and Mutuals (BCCM).
Held on 17-18 November in Melbourne,
the event promises “a high-level
programme for executives and directors
dealing head on with the need for a unified
vision for growth for our sector and to help
Australia address systemic risks to the
economy through co-operation”.
The event looks at the theme of “triple
threat or triple opportunity”, looking at
three trends – competition, conscious
consumerism and consolidation.
Key speakers include:
• Jeremy Duffield, Ex-CEO and founder,
Vanguard Australia
• Enrique de los Rios, CEO, Unica Group
(Spain)
• Eric Balchunas, senior ETF analyst,
Bloomberg Intelligence and author of
The Bogle Effect
• Ana Aguirre, president, Youth Network,
International Co-operative Alliance
p Ana Aguirre, president of the ICA Youth
Network, will give the closing address
Other contributors include Ben
Macnamara, CEO of agri-co-op CBH
Group, Eugenie Stockman, CEO of
Cooperation Housing, Matt Rutter, CEO
of Geraldton Fishermen’s Co-operative,
Peter Hunt of Mutuo and Melina Morrison,
CEO of BCCM.
The event also features CEO breakouts
which will address “four ideas to take
Australia forward” – food security and
sustainable domestic agriculture; a
just transition to a greener economy;
affordable housing for all Australians; and
a sustainable and valued care workforce.
Flood relief
BCCM has also welcomed the first round
of relief grants from the Australian
Mutuals Foundation, which will go to 21
community-based organisations affected
by the floods which hit New South Wales
and Queensland this year.
The AMF flood grants are being delivered
in partnership with BCCM, Summerland
Credit Union and G&C Mutual Bank.
Recipients include Nundah Community
Enterprises, a Brisbane-worker co-op
that supports refugees and people with
disabilities by providing them with work.
The AU$10,000 (£5,900) grant will help
workers retain their jobs while the co-op
recovers from loss of stock, equipment
and contracts due to the floods.
Space to
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Space to
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20 | OCTOBER 2022

KENYA
Co-op Bank of
Kenya reports 45% growth
in half-year profit
The Co-op Bank of Kenya has reported a
growth in profits in its latest quarterlies.
The bank reported a Kshs15.3bn
(£110.1m) profit before tax for the second
quarter, up from Kshs10.5bn (£75.5m) in
the same period for the previous year.
This represents a 45% growth in profit
since 2021. The bank’s post-tax profit
was Kshs11.5bn (£82.7m) in 2021, up from
Kshs7.4bn (£53.2m) in 2021.
Based on its performance the bank has
been able to deliver a return on equity of
24.2% to its shareholders.
The total value of the bank’s assets rose
5.4% to Kshs603.9bn (£4.3bn) compared
with Kshs573bn (£4.1bn) in the same
period last year. The bank also saw an
increase in its total operating income
by 17.8% to Kshs34.4bn(£247.2m) from
Kshs29.2bn(£209.9m).
It also reports that it has been able
to serve nine million account holders
through its “universal banking model”
and “sales force effectiveness”.
The bank’s cost to income ratio has
fallen to 46% in this quarter from 59%.
Through its digital strategy, the bank has
also moved 94% of its transactions to
alternative delivery channels including
internet and mobile banking and a 24
hour contact centre.
Managing director and CEO Gideon
Muriuki said: “The strong performance
by the bank is in line with the strategic
focus on sustainable growth, resilience
and agility,” and later added: “The Cooperative
Bank Group continues to pursue
strategic initiatives that focus on resilience
and growth in the various economic
sectors. This is anchored on a successful
universal banking model supported by
an innovative digital presence, a wide
physical footprint, nine million customers
and the unique synergies in the over 15
million member co-operative movement
that is the largest in Africa.”
Glanbia Co-op rebrands as Tirlán after buyout
Ireland’s Glanbia Co-operative Society
and Glanbia have rebranded as Tirlán –
which stands for “land of abundance”.
The two businesses adopted a new
identity to reflect the co-op’s acquisition
of the remaining 40% stake in Glanbia
Ireland from Glanbia plc to become the
sole owners of the business.
Ugandan credit co-ops set up national federation
A federation for community credit cooperatives
has been launched in Uganda
to represent the sector and help it meet
members’ needs. Formed under the
supervision of the Ministry of Trade
Industry and Cooperatives (MTIC), the
initiative is part of the Uganda Saemaul
Geumgo Project, launched in 2018.
Indonesian minister sets out plan for new co-op law
Indonesia’s co-ops minister Teten Masduki
said a forthcoming Cooperatives Bill will
build resilience into the sector. Antara
News reported Masduki’s speech in capital
Jakarta, where he set out plans including
a new independent regulator for co-op
savings and loans, a deposit insurance
scheme to protect finance customers, and
tougher penalties for business abuses.
Singapore’s credit co-ops weigh emerging trends
The Singapore National Co-operative
Federation brought together more than
70 representatives from the co-op credit
sector last month to discuss finance
trends. A key topic was Buy Now Pay
Later financial services, which have seen
strong growth since the pandemic, and
delegates were told to educate customers
on their use.
Filene Research Institute and Woccu will share premises
The World Council of Credit Unions
(Woccu) has moved into the Filene
Research Institute’s office in Madison,
Wisconsin, after remote working prompted
a rethink of its office needs. It also needed
a site that could accommodate the staff
of the Worldwide Foundation for Credit
Unions, Global Women’s Leadership
Network and Wycup,
OCTOBER 2022 | 21

MEET
Edward Rosen
Project director, Lambeth GP
Food Co-op
This month we speak to Ed Rosen, project director at Lambeth GP
Food Co-op, who has also worked in the NHS as an educationalist.
Set up in 2013, Lambeth GP Food Co-op brings together patients,
doctors, nurses and local residents who have created a network
of food-growing NHS gardens. The co-op serves both an economic
and a therapeutic purpose, helping patients with long-term health
conditions while encouraging local food procurement.
WHAT DOES A REGULAR DAY LOOK LIKE FOR YOU
AND LAMBETH GP FOOD CO-OP?
We are a co-operative, but we are distributed across
the whole borough of Lambeth, so our work is
spread across a large area. One of our core activities
is growing food; at the moment we are coming to
the end of the growing season, so we’ll be selling
our vegetables to NHS staff. Tomorrow we’re going
to visit Sutton Community Farm – I hope to build
a relationship with them as we’d like to increase
our growing activity. On a regular day we focus on
supporting patients, some of whom are members
of Lambeth GP Food Co-op. Then once a month
we have a co-operative activity, such as selling
produce at King’s College Hospital. The idea is to
create a network of NHS gardens across Lambeth
HOW DID THE PROJECT START AND HOW DID YOU
GET INVOLVED?
The project started as an idea that was being
discussed in the Department of Health to fund
I’m confident that co-ops
have a contribution to make
to the reshaping of the health
service within primary and
community care
pilot projects focusing on social enterprise,
mutuals and co-operatives. This was in 2006.
Nothing happened, but it led to some of us
reflecting on how difficult it was to create co-ops
and mutuals within the public sector, especially
within the NHS. There just didn’t seem to be a way
in or an alignment between the ideas and values
of the co-operative movement as we understood
it, and the NHS. The NHS has the value of ‘free
at the point of need’, but has a very different
organisational culture. Fast forward a bit, and
in 2012 I made an initial proposal to Lambeth
Council, which at that time was a co-operative
council and part of the Cooperative Councils’
Innovation Network. Lambeth said ‘Yes’. We
then talked to the NHS in Lambeth, and they said
‘Yes.’ We had three years’ funding to get it up and
running, and we started with three GP surgeries
in Lambeth in March 2013. Next March is our 10th
anniversary.
HOW MANY GP SURGERIES DO YOU WORK WITH?
We started working with GPs based on the simple
idea of building gardens at GP surgeries, in
alleyways and unused spaces. The aim was to
transform these spaces into a living and flourishing
vegetable gardens for patients who have long term
health conditions like diabetes and arthritis. We’ve
built gardens at 13 GP surgeries in Lambeth, but not
all of them were successful.
At the moment we are working with five GP
surgeries, and we also have vegetable gardens
at two large teaching hospitals, Guy’s and St
Thomas’ and King’s College Hospital.
22 | OCTOBER 2022

WHO ARE YOUR MEMBERS?
Our members are patients, nurses, doctors,
NHS staff and local residents. We’re actually
starting to rethink what it means to be a member
of Lambeth GP Food Co-op. So we’re going to
talk about membership and different categories
of membership in the autumn to create a
membership drive.
HOW DID THE PANDEMIC IMPACT YOUR WORK?
The first wave happened in spring and we had to
close all the gardens because they’re in hospitals
and GP sites. We transformed our activity to support
people who were self isolating. I mentioned that
we were working with patients who have diabetes
and arthritis; they tend to be older and a bit more
isolated, because they have long-term conditions.
We started working with Lambeth Council on
its emergency food pack distribution network,
and included a simple recipe and a pack of seeds.
This was packed for us by the Co-op Group,
particularly Ian (head of wine procurement ) and
his friends.
Then we went on to launch the Gardening at
Home project, which supported 13 patients.
They were given a garden at home pack and
were linked with a gardening buddy who was a
trained gardener and also had a background in
either nursing or social work. The buddy would
phone them every two weeks, asking them
how they were getting on growing their tomato
plant. It was important to ensure they didn’t feel
abandoned by the NHS. We gave them a focus -
growing plants and veg at home.
The buddies weren’t clinically trained, so
we kept the boundary very tight. If there was a
problem, they’d come back to me or to one of the
nurses who was overseeing the scheme, because
they weren’t trained to deal with medical issues.
They were there just to provide support for them
going through that difficult first winter. So that’s
what we did. We were funded externally to do
that work.
ONE OF THE CO-OP’S MEMBERS WAS INVOLVED
IN AN ORAL HISTORY OF THE HORTICULTURAL
HERITAGE OF SOUTH LONDON’S CARIBBEAN
COMMUNITY. HOW DID THE PROJECT START?
The project was called Sowing Roots and it was led
by Janine Nelson from the Garden Museum, who
also helped set up the Lambeth GP Food Co-op in
2013. Lambeth GP Food Co-op community gardener
Earline Hilda Castillo Binger was one of the 15
gardeners interviewed as part of the project.
The project journeys into the history of the
gardening cultures and traditions that Caribbean
people carried with them when they moved to the
UK after World War II: from breadfruit, provision
grounds, and botanical gardens, to chocho, ackee
and the green spaces of South London. The oral
history recordings are now part of the Garden
Museum’s archive.
WHAT ROLE DO YOU THINK CO-OPS AND MUTUAL
MODELS CAN PLAY WITHIN THE NHS?
As the social crisis has deepened in the UK, the
NHS has become more alert to the model that we
have developed at Lambeth GP Food Co-op, which
we share with everyone. We don’t franchise it so
people in their communities can develop their own
models.
I’m confident that co-ops have a contribution to
make to the reshaping of the health service within
primary and community care. We have at least
780,000 people managing long Covid-19. The GPs
can’t do anything for them because it’s a long-term
condition, and we don’t have a pill that cures it. We
also have thousands of people who are still either
self isolating, or semi self isolating at home.
I think that what we’ve developed is a very first
stage model around growing at home that offers
a platform for thinking about developing a cooperative
that is helping people improve their
health and well-being when it looks hopeless. And
that’s going to be really challenging, but there are
many people that we’ve spoken to who we couldn’t
reach out and help because we didn’t have the
resources. So we’re planning to rerun the growing
at home project this winter, if funding permits.
Although we’re a food co-op, our activity around
food is only one aspect of our work. We have plenty
more ideas that we want to explore.
p Members at the
Jennie Lee Garden,
which has been part
of Lambeth GP Food
Co-op since 2015
OCTOBER 2022 | 23

C
M
Y
CM
MY
CY
CMY
K
YOUR VIEWS
Co-ops pay tribute to Queen
Elizabeth II
Moments like this certainly do bring
people together (page 6-7). I was on an
early shift on a Co-op food till [the day
after she died], so was able to encourage
discussion and reminiscing within my
local community – particularly amongst
the elderly, to whom the bad news hit
really hard.
Pam Bailey
via Facebook
Jo Whitfield leaves Co-op
Group
The departure of Jo Whitfield (right) from
the Group (page 5) must be the red hot
favourite for “least surprising news of
the year”. I have no inside information,
but I never expected her to return after
giving, in my view, a flimsy reason for
taking several months off. I suspect – as
always – there is much that we do not
know – and probably never will. It was
reported that she was blindsided by the
abrupt departure of Steve Murrells and the
equally abrupt appointment of a new CEO,
a job she had allegedly expected.
David Stanbury
Plymouth
Have your say
Add your comments to our stories
online at thenews.coop, get in
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include your address and contact
number. Letters may be edited and
no longer than 350 words.
Co-operative News, Holyoake
House, Hanover Street,
Manchester M60 0AS
letters@thenews.coop
@coopnews
Co-operative News
Co-op Women’s Voices is a series of conversations
with women, who will share what has motivated
them, what the challenges have been, and who has
supported them along the way.
Share your light
Explore spirituality
with a caring
community
TIZIANA O’HARA
is a founder member at Co-operative
Alternatives, a co-operative development
body in Northern Ireland
15.11.2022
l 11am GMT
Q Logo - Sky - CMYK - Black Text.pdf 1 26
bit.ly/3SiYcAY
24 | OCTOBER 2022

PREVIEW
Ways Forward 2022 – Co-operating for Climate Solutions
Why is climate justice important for the
co-op movement? How can co-operation
and co-operatives be seen as relevant in
the climate movement? What is the best
way to build effective alliances across
communities that address the need for
systemic change?
These are some of the key questions at
the Ways Forward conference on Thursday
20 and Friday 21 October.
Over 150 co-operators are expected to
gather at Central Hall in Manchester’s
Northern Quarter to share information
and strengthen the co-operative networks
that are needed to act on these issues.
The focus of the two-day event will
be “on the key role of co-operation in
effective community-led responses to the
climate crisis that not only enable us to
take action to cut our emissions, but do so
in a just way”.
Speakers include Steve Graby (Greater
Manchester Coalition of Disabled
People), Elle Glenny (Tipping Point),
Amy Hall (Bunker Housing Co-op), and
representatives of Unicorn Grocery and
Manchester Veg People.
The event is organised by Platform 6,
which supports new and existing co-ops,
and encourages collaboration between
‘disparate but broadly aligned’ social
movements, public sector organisations,
businesses and the third sector.
Through a series of workshop
discussions, panel sessions and plenaries,
the Ways Forward conference will cover
a range of topics, including energy,
housing, education, disability, austerity,
retrofit, food and farming, diversity and
anti-racism, politics and economics.
The first day of the conference will
start with an opening keynote address,
followed by a panel discussion and Q&A,
exploring the key issues driving the
conference and setting the scene for the
sessions to follow. After lunch, attendees
will be able to participate in parallel
workshops and a closing plenary session.
A social cabaret event will take place on
Thursday evening, led by ‘international
man of dignity’ Deacon Martin, performer
and director at the Church of the Eternal
question, which, according to its website,
is the world’s first virtual church and
“…to organised religion what anti-matter
is to matter”.
The focus for day two will be around
the role of the public sector, through
strategies such as community wealth
building, in enabling co-operation at scale
in pursuit of inclusive green community
and economic development.
Registration for the event is open
now, and in an effort to make the event
accessible to as many as possible, Ways
Forward are offering a range of pricing
options to help those on restricted
budgets, as well as a number of bursaries
to fund those for whom the ticket price is
a barrier.
People can also sign up for volunteer
places. In exchange for a ticket, volunteers
help out throughout the day from set-up to
tidy up. Lunch will be provided, and when
they aren’t needed volunteers are free to
participate in the conference.
This will be the 8th Ways Forward
conference, after a break since Ways
Forward 7 in 2019 forced by the Covid-19
pandemic. Themes covered in previous
editions have included digital technology,
governance, membership and people’s
power in the workplace.
Ways Forward highlights the role of cooperation
and mutual aid in response to
the pandemic, and aims to use this year’s
conference to explore how best to take
forward this approach in the context of
the climate crisis.
“As the cost of living crisis bites, the
deep inequalities in our society are
increasingly plain to see,” said an event
spokesperson. “The need for inclusive
economies and climate justice has never
been clearer or more urgent.
“This conference will show that effective
solutions already exist, that they are built
on sound values and principles, and
that through wider co-operation – across
communities and social movements,
between public, private and third sectors –
we can scale these out widely and at speed.”
For further information on the
programme and tickets, visit
waysforward.coop
OCTOBER 2022 | 25

Lessons on
housing
from Zurich
q Esther Alegre, a
resident of Sostre
Civic co-op in
Catalonia, Spain
By Anca Voinea
Representatives from housing co-ops around the
world met in Zurich on 22 September to explore
how effective policies can foster affordable cooperative
housing.
The event was hosted by WBG Zurich, the
largest of nine regional associations of Swiss
housing co-operatives. In Zurich there are 100
housing co-ops with a 23% market share of all
apartments in the city. Nationally, there are 1,700
limited profit housing organisations, including
housing co-ops. Together these account for 10%
of the total housing stock in Switzerland.
In 2011, the city set a specific goal to increase
the proportion of apartments by not-for-profit
housing organisations from a quarter to a third
of all rental apartments by 2015. This target
has been met and the city still views co-ops as
crucial to the promotion of affordable housing.
City-led mechanisms to support housing
co-ops include interest-free loans for land
purchase, and free long-term renewable leases
on city-owned land.
Stephanie Fürer, scientific associate, Swiss
Federal Office for Housing Switzerland (UNECE)
said the country also supports co-ops through its
Rolling Fund. Money is granted to co-ops based
on the quality of dwellings, disability access
and environmental considerations. This fund is
administered by co-op umbrella organisations
and proceeds from regular amortisations are
reused for new loans.
Support is also granted via the Bond Issuing
Cooperative for Limited Profit Housing,
established in 1991 by the Swiss government and
the co-op housing movement. It raises cheap
finance for non-profit house-building.
“There’s close monitoring on who gets the
money for what projects so the default rate is
close to zero,” said Fürer, adding that the scheme
has no cost to the government. “It’s something
that could be copied by other countries, if there’s
political will.”
A key ingredient in this success is the
autonomy of co-op apexes, who administer
the process. “Needs are met well because the
umbrella organisations know what they need –
they are close to the members,” added Fürer.
26 | OCTOBER 2022

Julie La Palme, secretary general of Cooperative
Housing International (CHI), said: “We
can see the success of co-operative housing in
Switzerland, and particularly, here, in Zurich ...
and this is a model that is worth emulating in
other parts of the world.
But Sorcha Edwards, secretary general of
Housing Europe, warns that increasing supply
alone will not solve the housing crisis in Europe
or around the world. She referred delegates to
her organisation’s 2021 report on affordable
housing, which looks at strategic land policy,
purposeful investment and good governance.
“A co-op approach to housing has to be part
of the solution to this massive global crisis,” she
said. “But it doesn’t come on its own. We can’t
only rely on people power; the right regulatory
structures and financing must in place to allow
those co-operatives to flourish.”
Housing Europe’s research found that the
sector is more likely to promote micro grids
for local renewable energy production. Some
regulatory constraints prevent co-ops from using
the local grid to share the energy they produce
between different buildings.
Legislation can also be a barrier. In East
Europe, housing stock is primarily in individual
ownership and there is a lack of regulatory
frameworks, institutions and instruments for
rental and co-op housing.
Seeing that they faced common challenges,
groups from Croatia, Czech Republic, Hungary,
Serbia and Slovenia set up MOBA Housing SCE,
a European network of housing co-ops, in 2017.
“Financial actors are not willing to take risks.
They’re not willing to support pioneers and
experimental actors, and since the sector doesn’t
exist, we only have pioneers and experimental
actors,” said MOBA’s Zsuzsi Pósfai.
MOBA SCE set up its own Housing Development
Fund in 2021 with €21,600 (£19.260) of seed
capital from ABZ housing co-op in Zurich.
“It looks like we will be able to add some
additional seed funding from another grant into
this accelerator. And from this MOBA can give
short-term loans to its members,” added Pósfai.
Members applying for loans have to pitch
their project to MOBA, which assess its financial
viability. They must pay an affordable interest
on the loan to the co-op, which will cover the
operational costs.
In Barcelona, Sostre Civic co-op runs multiple
housing projects across Catalonia, the most
recent being Cirerers, launched in 2016. The city
of Barcelona granted Sostre land to build housing
units in Roquetas, a neighbourhood close to
mountains. Residents have now moved in.
“It is important to have Sostre Civic because
they provide the tools that groups can then use
and take decisions in their own projects,” said
Esther Alegre, one of the residents of the co-op.
Ander Zabala Gómez, administrative assistant
of Sostre Civic, highlighted the importance of
having an ethical bank to get co-op housing
projects off the ground. “The solidarity economy
network makes it possible for these ethical
banks to exist. You need a whole ecosystem that
supports each other. Traditional banks do not
trust housing co-ops,” he said, adding that the
city’s support through the lease of the land was
also crucial to the project’s success.
Some co-ops support other co-ops abroad.
Switzerland’s largest housing co-op, Allgemeine
Baugenossenschaft Zürich (ABZ), runs a solidarity
fund which has backed 45 projects worldwide
with CHF1.35m (£1.26m) in the past three years.
The symposium also explored the idea of
members who can afford it paying more to
subsidise the rent of members on lower income.
The co-operative principle of equality can be
interpreted differently by different co-ops, said
Blaise Lambert, CEO of the UK's Confederation
of Co-operative Housing and a board member
of CHI. “There are opportunities with varying
price models for people on higher incomes
to be supporting people on lower or even no
incomes. But again, there are some in the co-op
housing world who think that that’s a complete
anathema to what the model should be about –
everyone paying the same.”
Overall the key lessons to be drawn from the
symposium were the need to have enabling
legislative frameworks, supporting local and
national governments, a wider co-operative
ecosystem and ethical finance providers.
p Julie La Palme from
CHI tells delegates
there are lessons to
learn from Zurich
A CO-OP
APPROACH
TO HOUSING
HAS TO BE
PART OF THE
SOLUTION TO
THIS MASSIVE
GLOBAL CRISIS
OCTOBER 2022 | 27

Cooperation
Jackson fights
for a solution
to the US city’s
water crisis
‘We must be
clear about
building and
fighting for
the practical
communitybased
solutions
to the water and
climate crisis’
By Miles Hadfield
In late August, around 15,000 residents in
Jackson, Mississippi, were left with no access to
safe drinking water after flooding knocked out a
treatment plant.
The crisis saw president Joe Biden declare a
federal emergency to trigger aid efforts – but
it has also intensified debate in the city over
alleged racial discrimination, infrastructure
neglect and shifting local demographics.
These issues have already brought efforts
to reform the city in the shape of Cooperation
Jackson, a network of worker co-ops which
wants to develop a series of democratic
institutions to empower workers and residents,
and address the needs of poor, unemployed,
Black or Latino people.
It has now launched the Justice 4 Jackson
campaign to fix the water system and put
right what it claims are “decades of systematic
and intentional neglect due to environmental
racism, capital flight and deindustrialisation”.
“This collapse didn’t have to happen,” it
says. “As a result of the city’s declining tax
base over the decade, it cannot pay for the
repairs by itself.”
Because Jackson is home to the state capitol
and serves as a base for the federal government,
its water system is used by those entities, and
“they must pay their fair share in overhauling
and modernising the system,” the campaign
argues. But, it claims, “the Republican,
predominantly white, party leadership
that has dominated state government for
generations now, fundamentally refuses”.
This echoes the frustrations of residents
who argue that systemic racism has led
to the neglect of a city with an 80% Black
population, with local activists telling NPR
they have had to boil water for decades. NPR
reports the city government’s frustration that
it does not receive the funds needed to fix
the infrastructure, while in turn, the state
government blames local mismanagement.
On the part of federal government, Michael
Regan, Environmental Protection Agency
(EPA) administrator, said the city could be
eligible for government loans and support
under the Biden administration’s recent
infrastructure package, but warned this would
be contingent on “a plan that demonstrates
how those resources will be spent”.
Mississippi’s Republican state governor,
Tate Reeves, declared a state of emergency
in response to the water crisis on 30 August,
deploying the National Guard and instructing
the Mississippi Emergency Management
Agency to lead the effort in distributing
drinking water and non-drinking water to
the city.
His state government also opened seven
state distribution sites to offer bottled water,
bulk non-potable water and hand sanitiser.
“The state is marshalling tremendous
resources to protect the people of our capital
city,” said Reeves. “It will take time for that
to come to fruition. But we are here in times
of crisis, for anyone in the state who needs it.
That’s my responsibility as governor, and what
my administration is committed to.”
28 | OCTOBER 2022

t Jackson was
flooded in August
when the Pearl River
burst its banks after
storms (Image: Getty)
Water pressure was restored to the city in
mid-September, but it is still unsafe to drink
and needs to be boiled. Videos have been
posted showing dirty water coming from
taps. Some of the pipes are 100 years old and
some residents have issued lawsuits claiming
lead poisoning.
“This water system broke over several years
and it would be inaccurate to claim it is totally
solved in the matter of less than a week,”
added Reeves. “There may be more bad days
in the future. We have, however, reached a
place where people in Jackson can trust that
water will come out of the faucet, toilets can
be flushed and fires can be put out.”
Reeves says that one option on the table is
privatisation, which would see management
of the water system outsourced to a contractor.
Meanwhile, the city’s Democratic mayor,
Chokwe Antar Lumumba, who ran for office on
a radical programme, said he would consider
a “maintenance agreement” with a private
company to help alleviate staffing shortages,
but has been vocal in his opposition to
total privatisation.
Privatisation is likely to be controversial
with city residents, after a 2010 deal with
Siemens to install water meters and oversee
billing ended in fiasco, with some residents
receiving no bills and others receiving
inaccurate, inflated ones.
Lumumba’s administration launched a
lawsuit against the company which ended in
February 2020 with an US$89.8m (£79.9m)
settlement, but the failure of the system
increased pressure on the city’s infrastructure
and finances.
Cooperation Jackson is calling for
community-based solutions. It wants a drastic
overhaul of utilities in the city and says there
are decades of neglect to overcome. Its Justice
4 Jackson campaign has four demands – that:
• state and federal government immediately
fund the complete overhaul of the Jackson
water treatment and delivery systems
• the new system fully remains within the
democratic control of the city of Jackson
• the new system be built by the people of
Jackson and that over 50% of the contracts
awarded be granted to either contractors
from Jackson and/or Black and other minority
contractors
• the new system be ecologically designed and
built with as many locally and or regionally
sourced resources as possible.
As well as seeking government action,
Cooperation Jackson wants to take proactive
steps to improve the situation through
community action, and is proposing an
emergency response and mutual aid network
“that can serve our community in the event
of water outages, future polar vortex freezes,
tornadoes, hurricanes, floods, or massive
social unrest”.
The campaign adds: “The suffering
communities of Jackson cannot and must
not wait on state and federal redress that
might not ever come, given the ongoing
legacy of racial neglect. So, we must be clear
about building and fighting for the practical
community-based solutions to the water and
climate crisis that is underneath it, that we can
implement ourselves.”
And it is proposing the development of
community-based resources, including water
catchment, treatment and delivery systems,
solar farms and food networks to give Jackson’s
people more sustainability and autonomy.
Cooperation Jackson is calling on supporters
to donate to its organisation, or to other social
justice groups in the city which do work
in line with its vision; to contact President
Biden and their representatives in the Senate
and Congress in support of the campaign’s
demands; and to volunteer if they have
any relevant construction skills for water
catchment systems and solar installations.
Co-op News has contacted the office of
Tate Reeves at Mississippi state government
for comment.
p A campaigner for
clean water
This collapse
didn’t have
to happen ...
As a result
of the city’s
declining tax
base over
the decade,
it cannot pay
for the repairs
by itself
OCTOBER 2022 | 29

Electricity co-ops weigh the
costs of the
energy crisis
THE
GOVERNMENT
PRICE CAP HAS
INCREASED BY
ALMOST £58
PER MONTH FOR
A TYPICAL HOME
By Miles Hadfield
The energy crisis is forcing price hikes around
the world; in the UK, millions are in fear of fuel
poverty as winter looms, and many businesses
are concerned about unaffordable fuel costs,
prompting new prime minister Liz Truss to
announce a price cap, leaving the typical
domestic bill at £2,500.
The country’s biggest energy co-op, Your Co-op
Energy, a joint venture between Octopus Energy
and the Midcounties Co-op, has posted a Q&A
for members on its website, noting that “the
government price cap has increased by almost
£58 per month for a typical home, which means
that families all across the country are wondering
how they can take control and do something to
manage their energy bills”.
It says it “takes great pride in our relationship
with our customers and we understand that
this is a strenuous time for everyone”, but adds,
“tariffs have gone up this much because it costs
us five times more to buy energy now compared
to last year. Our new variable price is protected
by the price cap.”
Co-op Energy says there has been an average
increase of 54% in the cost of energy price
cap was last set six months ago. “If you’re
coming off a fixed price, your increase may be
more,” it warns.
One question it addresses relates to the cost
of renewable energy: the crisis was sparked by
soaring gas prices resulting from the Ukraine
war, but 100% renewable tariffs are also rising.
Co-op Energy tells customers: “It’s down to the
way the market works. The grid sets a single half
hourly price for all types of energy in the system.
That price often ends up based on the most
expensive source in the mix which is generally
gas, which is why even on green tariffs right now,
gas is setting the price.”
It adds that the price change only affects
customers on flexible tariffs, not its fixed tariffs,
and is contacting those affected to discuss their
options. “We’re committed to making renewable
energy affordable for everyone, so we’d prefer
to never raise prices,” it adds. “Our relationship
with Octopus Energy has meant that we have
been able to offer alternatives during this hard
financial time.”
Meanwhile, Community Energy England (CEE),
which represents member-owned renewables
across the country, welcomed the energy cap –
and suggests its members take advantage of the
government advice that “companies with the
wherewithall should be looking at ways they can
improve energy efficiency and increase direct
energy generation” by contacting local firms.
But, it warns, the energy cap “does not solve
the problem and comes packaged with a lot of
downsides”, with millions already struggling
with the cost of living. Even with the price cap,
“potentially more than 7 million households will
be struggling to pay energy bills – and will be
going cold and/or hungry this winter”, it adds.
The government’s support package could cost
upward of £100bn, to be funded by borrowing
and ultimately borne by the taxpayer. “This
money will effectively add to the excess profits of
the oil and gas giants who should be contributing
to paying for it,” says CEE, criticising the
decision not to levy a windfall tax on gas and oil
industry profits.
It is also concerned about government
ambitions to increase gas sourcing from the
North Sea, and to lift the ban on fracking – which
would not cut the price of gas, or energy bills.
“They will also temporarily suspend all ‘green
levies’ on electricity bills which pay for many
measures in the energy transition,” CEE adds.
“They made no statement about how these
things will continue to be paid for or where some
of them will simply stop.”
It notes the government promise of an Energy
Supply Task Force “to focus action on securing
domestic energy supply to reduce energy price
shocks from international factors”, a fresh look
30 | OCTOBER 2022

at the regulatory system, and a review to ensure
that Net Zero will be achieved by 2050 in a way
that is pro-business and pro-growth. This will
be conducted by Chris Skidmore MP, described
by CEE as “a previous energy minister, who set
up the Net Zero Support Group of Tory MPs to
counter the [climate-sceptic] Net Zero Scrutiny
Group led by Steve Baker and Craig Mackinlay”.
The crisis is a global one, prompting comment
from energy co-ops around the world. In the
Philippines, the Association of Mindanao
Electric Cooperatives (Amreco) – a coalition of 34
electric co-ops – warned that the Ukraine crisis
has inflated the price of the coal that generates
much of the power on the island.
Amreco president Jose Raul Saniel, in a
statement to the press, said: “Why are we being
blamed when we are just the collectors of the
payments for different charges imposed by
power suppliers, transmission operators, and
government taxes?”
Sergio Dagooc, from the Association of
Philippine Electric Cooperatives (APEC), agreed,
and called on the government to take action to
stop the independent power producers dictating
energy prices.
In the US, NRECA, the apex for rural electric
co-ops, is running a weekly fuel price watch
– a useful resource in a country where retail
electricity rates have risen nearly 16% between
August 2021 and August 2022, according to the
US Department of Labor.
Many co-ops across the country have been
forced to increase rates, but some are working
to limit the impact; in Wyoming, commercial
electricity rates in June 2022 were 20% lower
than the national average – with the Basin
Electric Power Cooperative board voting on
10 August for a rate decrease that will save its
members approximately $33.5m in 2023.
General manager Todd Telesz said: “One of the
unique benefits of the co-operative is that when
a co-op does well financially, its members do,
too. The margins generated at the co-op benefit
every single member at the end of the line.”
The co-op – whose electricity portfolio
includes coal, gas and renewables – also
voted in July to approve a US$15m (£13.3m) bill
credit on members’ July power bills as well as
the retirement of $13.2m (£11.75) in patronage
capital credits. Wyoming news site Cowboy State
Daily also reported that wholesale power co-op
Tri-State reduced its rates by 2% in March 2021,
and then another 2% in March 2022.
“The not-for-profit co-operative business
model supports power affordability. With rugged
terrain and fewer customers per mile, it is more
(image: OgnjenO/GettyImages)
expensive to deliver power in the West. Co-ops
operate at cost, and return any excess revenues
to their members,” said Tri-State vice-president,
communications, Lee Boughey.
Tri-State has been embroiled in disputes with
several member co-ops which are seeking to
leave before their contracts expire, because they
want to diversify their sourcing to include more
renewables. In response, Tri-State is looking to
reduce its own reliance on fossils and industry
observers hope the energy crisis will spur more
efforts in the sector to transition to renewables.
In a blog for the Natural Resources Defense
Council, Jeffrey McManus, government affairs
coordinator at the non-profit Center for Policy
Advocacy, says the recent federal Inflation
Reduction Act “will be a game-changer in
accelerating the transition away from fossil fuels
to a clean energy economy that will lower utility
bills for families, support good-paying clean
energy jobs, and tackle the climate crisis”.
He highlights how four Republican-led states –
Texas, Oklahoma, Iowa and Kansas – are among
those leading the way on wind power, adding that
across the US as a whole, rural electric co-ops
“have more than tripled their renewable capacity
between 2010 to 2021”. This is partly driven by the
fact that renewables are cheaper – but McManus
notes that some co-ops, including Tri-State, are
locked into coal contracts and are paying more
for fossils than they would for renewables.
The energy crisis is also helping to spur a new
generation of energy co-ops in the US – this time
in the cities, in the form of community solar.
Among those leading the way is Solar United
Neighbours, which works with communities
across the US to develop neighbourhood groups
of 50-100 people which can install solar panels.
It lists groups in a dozen states, with more than
7,500 homes investing a total of $162m (£144m).
POTENTIALLY
MORE THAN
7 MILLION
HOUSEHOLDS
WILL BE
STRUGGLING
TO PAY ENERGY
BILLS”
OCTOBER 2022 | 31

Retrofit
revolution
By Rebecca Harvey
Our homes use 35% of the UK’s energy and
produce 20% of its CO2 emissions. At the same
time, the UK faces its worst energy bill crisis in
at least 50 years – after rising living costs have
already squeezed people still reeling from the
2008 crash and austerity that followed.
The price cap freeze and £550 in support
to households recently announced by the UK
government have largely been welcomed, but
it’s a temporary measure; prices are projected to
remain high for several years.
In this context – and taking the climate
crisis into consideration – retrofitting looks
very appealing. When it comes to housing,
retrofitting adapts existing buildings so that
energy consumption and emissions are reduced,
resulting in a more comfortable and healthier
home with lower fuel bills. In the UK, Energy
Performance Certificates (EPCs) indicate the
energy efficiency of buildings, based on data
about its construction materials, heating systems
and insulation. Domestic EPCs are banded from
A to G, where A is the most energy-efficient; the
average energy efficiency rating for a dwelling in
England and Wales is band D.
Upgrade methods include improved
insulation, airtightness and ventilation, as
well as using appropriate heating and cooling
systems, renewable technologies and energyefficient
materials.
In September, two reports asked why the
government hasn’t been more supportive
of retrofit.
In Tackling the UK’s energy efficiency problem
– What the Truss government should learn
from other countries, from the Institute for
Government, Rosa Hodgkin and Tom Sasse
highlight how retrofit can make a real difference
to the UK energy crisis – but they note that it was
entirely absent from the prime minister’s plan.
“The UK’s homes and buildings are among
the least efficient in Europe, which is making
the crisis especially painful for households
and businesses,” they write. “Remarkably, the
Johnson government and now, seemingly, the
Truss government have ignored this so far. The
case for action is even stronger now that the
government will be taking such large energy
costs directly on to its balance sheet.”
This sentiment is echoed by Community
Energy England (CEE). “Government plans have
done nothing at all to correct the appalling
record of the Conservative government over
many years to address a key root cause of this
energy crisis by retrofitting our building stock –
Europe’s leakiest,” said a CEE spokesperson.
“Major investment in retrofit is something
that would genuinely improve domestic energy
security as well as domestic health, happiness
and economics. It would create employment,
and reduce carbon emissions. It would protect
property values, save huge health and welfare
costs as well as being electorally popular. A nobrainer,
you would think.”
In a second report, Train local, work local,
stay local: Retrofit, growth, and levelling up, the
Institute for Public Policy Research (IPPR) urges
the government to look seriously at increasing
the pace of retrofit – and to help communities
in the process by training and employing a local
cohort of specialists.
“In a crisis like this, the government should be
pulling every possible policy lever available to it,
to reduce energy consumption, move away from
32 | OCTOBER 2022

gas permanently and ensure the government
is not subsidising UK energy bills for years
to come,” says Joshua Emden, who wrote the
report. “This will require an enormous increase
in the pace of retrofitting people’s homes with
insulation and upgrading their boilers to heat
pumps to get them off the gas grid and protect
households from future price shocks.”
Retrofitting the UK’s leaky, cold, and damp
homes has “always been about more than just
meeting net zero targets,” he says, but adds
that “in the current dire economic context, it
is now a critical lever in securing economic
security. In addition to cutting household energy
bills, the government could make retrofitting
the cornerstone of its levelling up strategy by
creating jobs that can be trained for and filled
locally and have a substantial impact on local
economies across England.”
Emden states that retrofitting homes with
good insulation and a heat pump as part of a
whole-house approach could save households
up to £430 a year on energy bills when the price
cap freeze comes into force. At the same time,
a retrofitting programme of £7bn per year in
England could sustain over 400,000 direct jobs
and 500,000 indirect jobs by 2030 and over 1.2
million direct jobs and 1.5 indirect jobs by 2050.
A similar move is being explored at local
level by Barton Community Retrofit Cooperative
(BCRC), a programme developed by Owned By
Oxford, a collaboration between the city council
and community groups. BCRC aims to provide
retrofit services while training and upskilling
local people.
“We’re at a very early stage but things are
beginning to take off,” says BCRC. “In the Barton
area of Oxford there is poor housing stock –
especially 1950s prefabs – and concerns about
rising energy prices. We’re starting to recruit local
builders interested in ‘learning through doing’
and have a local retrofit expert to lead the team.
Seed-funding has been secured from Owned by
Oxford and we’re now seeking resources and one
or two properties to test the model.
“Our aim is to start small and build one
community retrofit team, then expand and
create new teams, and then replicate the model
in other communities.”
Co-ops are involved in the retrofitting
movement in a number of other ways, from
providing site analysis and renovations, to
advice and guidance, and funding through green
financial products.
In Manchester, People Powered Retrofit was
established as a Community Benefit Society
in 2021, with support from the government,
community energy co-operative Carbon Co-op,
and design and research co-operative Urbed.
It aims to “help more householders to retrofit
their properties,” by offering clear, independent
advice and support households to help them
plan, procure and deliver retrofit projects.
In February, the Confederation of Cooperative
Housing (CCH), the apex body for UK housing
co-ops, launched a Housing Retrofit Support
Programme aiming to help members deal with
ageing and energy-inefficient housing to create
warm, affordable and low carbon homes.
A range of support has been developed by
James Neward, CCH’s in-house retrofit expert,
ranging from housing stock analysis and energy
assessments right through to design, planning
support and on-site delivery.
And in Ireland, the government has a target of
upgrading 500,000 homes to B2 Building Energy
Rating (BER) standard, by 2030. In February,
the department of environment, climate and
communications announced a raft of measures
to achieve this, which will be administered by
the Sustainable Energy Authority of Ireland
(SEAI). At the Swoboda Credit Union Conference
in May, SEAI’s Josephine Maguire described
how the organisation works with homeowners,
businesses, communities and the government to
transform how people think about, generate and
use energy – and highlighted how credit unions
are vital to this work.
“[Credit unions] are in every community and
every locality,” she said. “They are central to
communities and can be involved in demand
generation campaigns, look at supply chains
and help to bring low-cost financing into the
market for home retrofit.”
p Carbon Co-op
workers retrofit a
property
IN A CRISIS
LIKE THIS, THE
GOVERNMENT
SHOULD BE
PULLING EVERY
POSSIBLE
POLICY LEVER
AVAILABLE TO IT
OCTOBER 2022 | 33

The cost of borrowing
Credit unions as an
alternative to unethical
sources of finance
p A Leeds Credit
Union branch at
Kirkgate Market
(Image: Leeds Credit
Union)
By Anca Voinea
Credit unions around the world are doing
their bit to help with the cost of living crisis by
providing low-cost loans.
A March 2022 report by the Centre for Social
Justice, an independent UK think-tank, identified
credit unions as a key player in the affordable
finance ecosystem which could help vulnerable
people. It found that 62% of those who became
victims of loan sharks had an income of below
£20,000 a year, with about half of this number
on less than £15,000. It also revealed that 66%
also had debts owing to legal creditors and 75%
were on benefits.
In June, Bank of England figures showed that
credit card borrowing had risen by £740m month
on month,13% higher than the year before and
the biggest year-on-year rise since October 2005.
And research by SmartMoney found that two
in five UK adults will take out a new form of
credit in the next year, and they predict they will
need an average of £5,250 each.
The Co-op Credit Union in Manchester has
raised concerns about the mental and physical
health impact of the crisis. A recent survey of
its members found two-thirds of respondents
were either “very” or “extremely” worried about
the cost of living; 14% had skipped meals,
and another 14% had used all their savings.
Around 8.5% reported difficulty with debts.
These challenges have left their mark, with 57%
reporting a deterioration in their mental health.
In light of these challenges, 54% of
respondents acknowledged the value of their
credit union membership, saying that its services
have helped them through the crisis so far.
Matt Bland, chief executive at the Co-op
Credit Union, said: “These survey results paint
a sobering picture of the real-life health impact
that the cost-of-living crisis is having on our
members, the majority of whom are earning low
incomes in part-time retail work.
“The recent announcement from government
on freezing energy unit prices is of course a very
welcome intervention. But our survey reflects
the impact that the increases we’ve already seen
are having on our members' lives and those of
their families. This suggests that more targeted
support is needed for the poorest.
“It is very encouraging for us to see the
positive impact our services have for people
struggling to cope with a once-in-a-generation
crisis. We are doing everything we can to support
members through our core savings and loan
services as well as providing tools and support to
help people budget and maximise their income
through benefits and tax credits.
“We call on government and its agencies to
do everything it can to support those on low
incomes to find a sustainable way through the
crisis. We also call on government and bodies
like Fair 4 All Finance to consider what they
might do to help credit unions and other social
lenders to expand their services to support lowincome
households. In many ways, the current
crisis is more damaging than Covid-19 was for
low-income households and we need a response
on an equivalent scale.”
Similar concerns were expressed by Leeds
Credit Union, which warns locals not to turn
to unethical lenders. “We are acutely aware
of the challenges facing many members of
society during these tough times,” it said. “As
a long-established credit union, we are used to
supporting our members throughout challenging
periods and proudly continue to do so today.
34 | OCTOBER 2022

“If you or someone you know is struggling
financially, we would advise you to talk to your
local credit union as soon as possible. As well
as providing a range of financial products at
reasonable and affordable rates and savings
accounts to help build financial resilience, credit
unions offer holistic help and advisory services
that can help anyone at risk of becoming
financially vulnerable.
“Under no circumstances should you turn to
unscrupulous lenders or loan sharks.”
Debt is also a concern in Ireland, where an
annual school-costs survey from the Irish League
of Credit Unions (ILCU) found that parents
are spending an average of €1,195 (£1,045) per
primary school child, €9 (£7.87) more than the
previous year. Around 89% of parents said the
rising cost of living had impacted their income
or household costs.
And 61% said the increasing cost of food for
school lunches was having the biggest impact
on their budget. Around 9% of respondents said
they would consider a payday loan company,
with one in 10 (8%) of parents knowingly
considering an illegal moneylender. A quarter of
all respondents in this group didn’t know if their
potential moneylender was legal or not.
ILCU head of communications, Paul Bailey,
said: “The rising costs of living will heavily
impact households across Northern Ireland this
winter. This is evident by the sharp increase in
parents cancelling extracurricular activities and
sacrificing the family holiday to meet the costs of
back to school. What is particularly concerning is
the increase in the number of parents reporting
that they will go into debt to send their children
to school.
“I would urge parents who feel they have no
alternative to a moneylender to talk to their local
credit union about accessing more affordable
and ethical forms of finance.”
In the USA, new legislation is being considered
to protect consumers from debt. Congresswoman
Carolyn B. Maloney has introduced the Overdraft
Protection Act, which would limit the number
of overdraft fees banks can charge to one per
month and six per year.
But the Credit Union National Association
(Cuna) is critical, warning a curb on fees would
limit credit unions’ ability to help members.
Cuna president/CEO Jim Nussle wrote in a
letter to the committee: “The best and least
disruptive path forward would be to continue
permitting transactions to be processed and
encouraging affected consumers to reach out to
and work with their local credit union to reduce
or eliminate any fees or to consider other lowcost
products and services. Relying on credit
unions to do what they do best is preferable to
an environment where consumers are getting
declined in line at the grocery store or pharmacy
or experience their rent check unpaid.”
The National Federation of Federally Insured
Credit Unions (Nafcu) also opposes the bill,
arguing that “any legislative efforts that
eliminate overdraft protection programmes are
likely to have a significant negative impact on
borrowers who value these programmes.”
Back in the UK, some credit unions are
partnering with charities or providing training on
how to manage budgets. Bradford District Credit
Union (BDCU) recently backed the FoodSavers
campaign run by Inn Churches, a councilfunded
project which has 10 outlets around the
city offering low-cost food with members able to
save into their BDCU accounts. Members have so
far saved over £4,000.
A financial wellbeing project funded by
Somerset Council has also involved credit unions
in the county and works to give people the tools
to understand and manage their finances better.
Through the scheme, charities, organisations
and credit unions offer free expert and
confidential help, with free information, events,
and training to local residents and employees of
Somerset businesses who face financial anxiety.
The initiative is backed by Westcountry
Savings & Loans, Great Western Credit Union,
Somerset Community Credit Union, and Mendip
Community Credit Union.
Similarly, Wave Community Bank in Hove, UK,
runs webinars to provide free tips to members on
how to manage monthly budgets, control their
debt and check what benefits are available.
But credit unions also worry about the impact
of the crisis on their sustainability.
Robert Kelly, CEO of the Association of British
Credit Unions (Abcul) said: “Abcul is acutely
aware of the potential seismic negative impact
that the cost-of-living crisis may have on our
member credit unions and the individual
members they serve across.
“We are devising a strategic lobbying plan that
will include discussions and negotiations with
a range of stakeholder groups and direct input
from member credit unions on how best to shape
our messaging and support services.
“As always, Abcul stands ready to support
our member credit unions in building
and maintaining financial resilience. Our
sustainability will be a critical factor in our
future success but there is no doubt that the
months ahead will create significant challenges
to the credit union sector as a whole.”
THESE SURVEY
RESULTS PAINT
A SOBERING
PICTURE OF
THE REAL-LIFE
HEALTH IMPACT
THAT THE
COST-OF-LIVING
CRISIS
OCTOBER 2022 | 35

Credit unions
provide a lifeline
in the cost of living crisis
q The Co-op Bank
has seen a wave of
branch closures
Facing page: Abcul
CEO Robert Kelly
By Paul Gosling
Credit union membership and lending have
increased significantly in response to the cost
of living of crisis. This growth in lending is
despite a rationalisation process that has seen
the closure of weaker unions, leading to a fall in
their total number.
According to Bank of England statistics
published in August, the number of adult
members of UK credit unions has risen to an
all-time high of 1.93 million. But the starkest
increase was in loans to borrowers, which
jumped by 18.9% to £785m last year, in
England alone.
But net liabilities in arrears in England
also increased, to £65.5m – a rise of 9.5% in a
year. Across the UK, the arrears figures were
better, falling slightly. Other positive indicators
included a big increase in government support
for credit unions in Scotland, while credit union
assets rose by 7% in Northern Ireland and by
9.5% in Wales.
These figures were welcomed by Abcul,
the Association of British Credit Unions Ltd.
“Credit unions are building financial resilience
in households and communities all across the
country and helping consumers manage their
finances in a hugely positive way,” says its
CEO, Robert Kelly. He adds: “Credit unions will
continue to serve communities and employers
in these testing times through the provision of
ethical and responsible products and services
– our mantra of people helping people will
continue to be the bedrock of everything we do.”
The Irish League of Credit Unions, which
has 85 member unions in Northern Ireland,
says it is too early to observe the impact of the
financial crisis in the most recent statistics from
June this year. “Those figures do not show any
significant increases in membership,” says a
spokeswoman, “however, it’s worth noting that
membership in Northern Ireland is much higher
than the rest of the UK, with more than a third of
adults (536,000) holding an account with their
local credit union.”
The League’s affiliated unions in Northern
Ireland hold assets of over £1.83bn, of which over
£582m is out on loan. The member unions “are
extremely well positioned to deal with increased
demand for loans as a result of the cost of living
crisis,” says the ILCU spokeswoman.
She adds that member unions provide a range
of financial and practical support to members.
“Credit unions will continue to do what they
always have, which is to prioritise the needs of
their members. At this time, with a recession
forecast, and households facing soaring costs
for utilities, groceries and fuel, credit unions
will do everything they can to support members
struggling. Whether that is through providing
access to affordable credit, or working with
individual borrowers struggling to manage their
repayments.
“What we are seeing currently is a smaller
growth in savings, which is likely to be a
combination of members using their savings, or
indeed having less to save.
“Demand for loans has also risen, with an
annual growth of 7.7% (June 21 – June 22).
Anecdotally, we understand there to be a shift
36 | OCTOBER 2022

CREDIT UNIONS
WILL CONTINUE
TO DO WHAT
THEY ALWAYS
HAVE, WHICH IS
TO PRIORITISE
THE NEEDS
OF THEIR
MEMBERS”
in demand, particularly noted by credit unions
in areas of higher deprivation. There is a rise
in loan applications for smaller amounts, and
taken to cover necessities such as household
items, back-to-school costs, or bills.”
Those financial pressures have caused credit
unions to extend their support in more practical
ways, too. For example, some credit unions –
such as Glasgow’s Carntyne and Riddrie Credit
Union – have set up food banks. Many refer
members in difficulty to external specialist
money advisors, while others encourage
budgeting as part of improved personal financial
management.
In addition to financial hardship, increased
demand for credit union services has been
driven by the closure programmes of both banks
and Post Office branches, especially in rural
areas. Analysis by Retail Banker International
found that the major banks, plus Nationwide
Building Society, had closed 4,644 branches in
the period 2007 to early 2021. (The bank with
the highest percentage of branch closures was
the Co-operative Bank, which closed over 85%
of its branches – cutting the network from 355
branches to just 50.)
While the intention, and public relations
narrative, behind many banks’ branch closure
programmes was the transfer of transactions
from bank to Post Office branches, the reality
has often been different. A report from Citizens
Advice earlier this year found widespread
short and medium-term closures of Post
Office branches. Over 80% of those which are
‘temporarily closed’ in practice do not reopen
within a year.
Credit unions have, in some instances,
become the only financial institution in the
village, or even town. And expansion in credit
union business has also resulted from changes
in the lending markets, which have reduced the
options for many borrowers. Stronger regulation
and large losses have combined to eat savagely
into the payday lending sector.
More than 50 of the high-cost, short-term,
payday lenders, including market leader Wonga,
have ceased trading in recent years. This created
a void that credit unions have helped to fill.
Despite this, the right-wing think tank the Centre
for Social Justice (CSJ) warns that there remain
more than 3 million people reliant on high-cost
credit in the UK, with around 23 million adults
not believing they will be able to save anything
in the next few years.
In its report Swimming with Sharks, published
in March this year, the CSJ argued that credit
unions should meet the needs of many of this
cohort that are in serious difficulties. It made a
series of proposals designed to increase the role
and capacity of credit unions to support people
currently dependent on illegal loan sharks.
It concluded that more than a million people
are victims of informal, high-interest, lending,
which is typically associated with criminal
gangs. The report calls for deregulation of credit
unions to enable them to increase their lending.
A combination of factors is placing credit
unions nearer to the heart of the low-cost loans
market. But it is obvious that many of those
who are now borrowing will have difficulty in
repaying. That may be a tough challenge for
borrowers and lenders.
OCTOBER 2022 | 37

The
Bevy
The community
pub finding ways
to mix it up in
response to the
cost of living
crisis
By Alice Toomer-McAlpine
As we head into winter amid a cost of living
crisis, many of us will be thinking of ways to
tighten our belts and cut spending, perhaps by
staying in more and foregoing trips to the pub.
Businesses across the hospitality industry are
experiencing similar challenges, as they face
soaring costs and feel the pinch of consumers’
shrinking budgets.
One such business is co-operative pub the
Bevy, in Brighton. The pub’s chair, Warren
Carter, explains some of the difficulties it
has been facing due to increased costs and
lower footfall.
“We’re always looking at cutting costs,” he
says. “But our biggest cost is wages and we’re
a Brighton Living Wage employer, so people get
over 10 quid an hour to work with us. Instead,
we’ve had to cut down on hours. On Saturdays,
we don’t open until 3pm now unless there’s an
Albion game, just because it was so quiet.
“We’re talking about just closing totally on a
Monday now, having no groups or anything. Just
try not to open the door, try not to put on lights.”
The Bevy recently released an online statement
addressing the cost of living crisis, but the focus
was less on the problems it faces as a business,
and more on what it is offering its community,
from lunch clubs and school uniform repair
to free kids’ activities. Despite the immense
challenges the Bevy is facing, it does have one
ace up its sleeve that it is leveraging for the good
of its business and its customers: its status as a
community-owned pub.
“It’s very worrying, but on the flip side, I
think we’re lucky because we are communitybased,”
says Carter. It was bought by local
residents in 2014 after four years of closure, and
ever since has acted as a hub for the benefit of
the community. “Basically we’re a community
centre where you can have beers.”
During the summer holidays, the Bevy hosted
a series of free kids’ events with activities and
free food and drink for the children. Carter
describes that kind of work as “part of our DNA”,
which provides a win-win for the Bevy and its
customers. The pub is able to access funding to
run community events, which benefits locals, as
well as increasing footfall in the pub.
“We know we need to offer this so people can
afford to come to the pub,” says Carter. “We’ll get
grants to do free holiday stuff and free kids’ parties
and things.
“Rather than a day out being £40 or £50 with
a load of children, you could either come and
spend nothing, or you can go, ‘You know what, I
can actually afford to have a couple of beers. My
children are having a nice time.’”
As well as events, the Bevy has been looking
at creative ways they can make it easier for cashstrapped
punters to enjoy a drink with them,
including changing its beer supplier to enable
them to offer a £4 pint.
The Bevy also embraces partnership work
with other aligned organisations, such as East
Brighton Food Co-op, which delivers meals
to vulnerable people in the area, and who are
moving into the Bevy’s kitchen to work together.
38 | OCTOBER 2022

Carter explains that this kind of co-operation
has been part of the way the Bevy has worked
from the start, and has been a way it naturally
responds to crises – with the pandemic being the
last example.
“Covid was just another thing that we could
rally around. We went to a meeting that was
called three days before lockdown. There were
20 organisations there from local churches,
food banks, community gardens, the local
secondary school and the local primary school.
All of us got together and went, ‘How are we
going to tackle this?’
“I think that’s the key, the Bevy doesn’t stand
alone. We work with everyone to support people.
“The East Brighton Food Co-op was a total
example of that. We thought: ‘We’ve both got
the same ethos. We can’t make our kitchen work,
you’re delivering 900 meals and need a kitchen
space – you move in with us and we’ll partner.’”
When it comes to the Bevy’s customers,
Warren explains that not all of them have been
affected by rising costs in the same way, but the
Bevy’s aim is to be a place where everyone can
come and join in.
“A lot of our regulars are builders and stuff
like that, and they’ve not really been clobbered.
It’s the people who only come occasionally, who
can’t usually afford to go out that we think, that’s
not fair.”
The Bevy sits on a housing estate in
Moulsecoomb and Bevendean, a neighbourhood
with high levels of economic deprivation. Carter
points out that, with many children at the
local school receiving free school meals, family
visits to the local pub can easily become an
unaffordable luxury.
“We’re always thinking of ways to not just
make money but to make sure that people can
enjoy life, you know that crazy thing – where
you’re not just working, coming home, paying
bills, then going back to work. We’re the sixthrichest
nation in the world – that’s not how
people should be living. And unfortunately,
we’re ruled by people who have no idea what it’s
like to be skint.”
Though it tends to stay out of party politics,
the Bevy’s co-op model is, by its nature,
political, says Carter. “We’ve always tried to stay
apolitical. And, to me, that just seems right, you
know, but also I think we are political by being
a co-operative pub. No one was going to help,
no one was going to reopen that boozer. It was
closed for reasons and different people looked
at it and thought, ‘We can’t make money out of
this’. So to me, getting off your ass and making a
difference in your community is political.”
Beyond the immediate crisis that the Bevy
and its community are facing, the bigger issue,
Carter points out, is that it is still the only
co-operative pub on a housing estate.
“Most community pubs are in posh villages
and stuff like that. There’s nothing wrong with
that, but there have been millions pumped
into that and actually, it’s so hard in workingclass
areas to get things like this off the ground
because of the lack of capital to start them and
then to keep them running.”
As a pub that was born out of adversity, the
rising cost of living is seen by the Bevy as “just
another thing for us to deal with”.
“We’ve always struggled as a pub to make
ends meet, which is sort of why our ethos from
the beginning was to be more than a pub, to be
like a community centre pub,” says Carter. “So it
will be a struggle for us. But it’s always a struggle
for us.”
As a pub that
was born out
of adversity,
the rising cost
of living is
seen by The
Bevy as “just
another thing
for us to deal
with”
OCTOBER 2022 | 39

Co-ops and
the cost of
living crisis
The United
Nations
Development
Programme
estimates that
an additional
71 million people
could be pushed
into poverty due
to the cost of
living crisis
By Anca Voinea
The United Nations Development Programme
(UNDP) estimates that an additional 71 million
people around the world face being pushed into
poverty. The worst affected countries include
Armenia and Uzbekistan in Central Asia; Burkina
Faso, Ghana, Kenya, Rwanda and Sudan in sub-
Saharan Africa; Haiti in Latin America; and
Pakistan and Sri Lanka in South Asia.
And a May Ipsos poll for the World Economic
Forum found one in four people struggling
financially in 11 developed countries.
Co-ops are stepping up to help cushion the
blow – and they have a number of tools at their
disposal, from staff bonuses to price controls.
In Italy, where inflation has hit 8.4%,
consumer co-op Nova is allocating a €200
(£174) bonus for 5,000 employees. NovaAeg, a
company active in the electricity and gas sector
that is owned by Nova Coop, has extended this
bonus to its employees.
Meanwhile, Norwegian retailer Coop is
introducing a price ceiling on 200 everyday
products for the rest of the year, keeping them at
the current level or lower.
“In a time of strong inflation, consumerowned
Coop has a responsibility to help
maintain Norwegians’ purchasing power,” said
Håvard Jensen, director of the iCoop Norway
chain. “When our suppliers increased our
purchase prices sharply with effect from 1 July,
we withheld parts of the price increase from the
consumer. We are now further contributing to
contain inflation by introducing price caps.”
The measure also applies to discount chains
Extra and Obs!, the supermarket chain Coop
Mega and the convenience stores Coop Prix,
Coop Marked and Matkroken.
“We have used our unique customer insight
to select 200 popular everyday products within,
among other things, fruit and vegetables, fresh
produce, dinner and cold cuts,” added Jensen.
“The list includes both Coop’s own brands and
brands from our suppliers.”
A similar initiative was undertaken by retail
co-op NTUC Fairprice in Singapore, which
provided a special discount on Pasar Fresh Eggs
(30s) in April. Between 25 May and 1 June the
40 | OCTOBER 2022

group also offered a special discount of 10% for
four popular cooking oil products for a week. The
retailer recently announced a wage structure to
help increase the salaries of workers (see Global
News, p18).
In the UK, where inflation has climbed to its
highest rate in 40 years, one in seven adults says
they cannot afford to eat every day – an increase
of 57% since January.
Retailers John Lewis and Waitrose, which
belong to employee-owned John Lewis
Partnership, are offering free food to all Partners
and temporary workers from 3 October to 6
January to help with the cost of living. The two
businesses will offer staff members working a
four-hour shift one free meal – breakfast, lunch
or dinner – depending on the time of day.
Those working an eight-hour shift can
choose two meals. The meals offered will vary
depending on the type of activity performed and
the workplace. Those working in larger stores,
head offices and distribution centres will have
their meals in canteens. Long-distance lorry
drivers would pre-order packed lunches and
staff in smaller convenience stores would receive
sandwiches or salads.
Some co-ops and mutuals are making direct
payments to help their workers. Nationwide
Building Society is giving more than 11,000 staff
who earn £35,000 or less per year a £1,200 oneoff
payment. It also introduced a 4.5% pay rise
for all staff earlier this year and raised the base
salaries of 4,000 of its lowest paid workers by
around 5% at the end of March.
In addition to providing financial support,
Nationwide will offer cost-of-living training to
all frontline staff.
CEO Debbie Crosbie said: “The months
ahead will be worrying for many people and
we’re always considering new ways to help our
members. But rising prices affect our colleagues
too and that’s why we’re providing this
additional support.”
Other co-ops are making a difference by
supporting vulnerable communities. Co-op
Holidays, which is part of the Midcounties’ Co-op
Travel Group, is working with charity Go Beyond
to enable vulnerable children from across the
UK have a getaway break. Over the past year the
initiative benefited more than 760 children aged
8-15, who are facing serious challenges in their
everyday lives, such as bereavement, abuse,
bullying, poverty or being a carer for loved ones.
The breaks include a mix of residential stays
and day visits where children can have new
experiences, learn skills or make new
friends free of charge.
Co-op Holidays is also donating £1 per
passenger to the charity for every holiday
package booked. Over the past year, the travel
group has made a £50,000 donation to help
offset any impact of the coronavirus pandemic
from holiday booking donations.
Co-op Holidays has pledged to donate a further
£50,000 to the charity to mark their second year
of the partnership.
Sara Dunham, chief officer of Travel and
Leisure at Midcounties, said: “We’re thrilled to
be partnering with Go Beyond for a second year.
As a travel business, we recognise how important
a break can be for your mental health, so it’s
great to be able to provide these getaways for
young people who face challenging situations
every day.
“Not only that, but as part of a co-operative,
supporting our local communities is at the
heart of everything we do. We’re so proud to be
able to support Go Beyond thanks to the help
of our holidaymakers and it’s great to see firsthand
how we’re helping young people create
‘forever moments’, grow in confidence and make
new friends.”
Such measures help, but the world is in this for
the long haul. Economists warn that the cost of
living crisis is likely to last until the second half
of 2023. NielsenIQ estimates that UK consumers
will add an additional £500 to their overall food
spend this year while those in the US will add an
additional $481 to their total grocery food bill.
According to NielsenIQ’s research, external
pressures on consumers’ day-to-day spending
differ around the world.
In some markets, inflation affects multiple
categories while in others price increases are
isolated to just a few categories.
While these trends continue, co-operatives
will have an increasingly important role to
play in meeting their members’ needs
and helping communities cope with
the cost of living crisis.
Norwegian
retailer Coop
is introducing
a price
ceiling on
200 everyday
products for
the rest of the
year
OCTOBER 2022 | 41

Food co-ops and the
cost of living crisis
By Alice Toomer-McAlpine
The cost of living crisis is putting pressure on
the UK’s co-operative grocers – so much so that
some have already had to shut their doors.
Wild Thyme Wholefoods, a workers’ co-op
in Portsmouth, announced on 7 September
“the sad truth” that it could no longer carry on
trading. “Increased rent, rising rates and higher
energy prices coupled with lower sales mean
we cannot cover our basic costs any more,” a
statement on Facebook read.
Rice Up Wholefoods in Southampton put out
a similar statement in August, saying that rent
demands and energy bills, “along with all the
other challenges we have faced in the last few
years as an independent has culminated in us
having to reach the terribly difficult and sad
decision to close for good.”
Those still in business face a perfect storm
of soaring running costs, increased wholesale
prices and smaller takings.
The 8th Day worker co-op, a health food shop
and cafe in Manchester, celebrated its 52nd
birthday this month. It opened in a decade facing
similar challenges to the present day – such as
fuel shortages, inflation and mass industrial
action. More recently, 8th Day has weathered
upheavals such as the 2008 financial crash,
Brexit and the Covid pandemic.
Worker member Jeniya Marsh says that while
the co-op has always experienced “dips and
troughs”, the current crisis feels somehow
different. “I’ve kind of got the feeling that this
might be a bit longer lasting.…It’s so many
different things at the same time.”
Energy costs for businesses like 8th Day have
doubled. The prospect of further increases has
prompted the government to place a cap on
household energy bills for the next two years,
and businesses’ bills for the next six months, as
part of its Energy Bill Relief Scheme. But with
millions of households still being left in fuel
poverty, coupled with the 11.4% increase in food
prices in the past year, customers will be making
some very difficult spending decisions.
Reduced footfall as customers face the
squeeze is a particular concern for stores like
8th Day, which can be seen as non-essential
spending by some customers. While 8th Day has
its regulars, other customers are better described
as “fair-weather” buyers.
“When they’ve got disposable income, they’ll
come and spend it with us,” says Marsh, “but
if they’re short of cash, then of course they’re
going to just go and do their shopping at the
cheapest supermarket they can find.”
Recent research from Kantar has found a drop
in “eco-active” customers – the kind of shoppers
likely to be found in a store like 8th Day, seeking
42 | OCTOBER 2022

sustainable and organic products. In the UK,
eco-active shoppers have reduced by 3% in the
past year. To make matters worse, suppliers have
been forced to put up prices, as raw ingredients
and transport become more expensive.
“The cost of bringing products into the UK has
also gone up,” says Ms Marsh. “Obviously, that’s
not just to do with inflation here. That’s to do
with Brexit and increases that have been passed
on to wholesalers and importers. Especially
when you’re bringing in goods from the EU now.”
Co-operative wholesaler Essential Trading, in
Bristol, supplies a number of shops and cafés
in the city and across the UK. Essential’s Lee
Nottle explains that while the current situation
is challenging, Essential’s experience during the
2008 crash has left it in a more resilient position.
“Since then, there’s been a lot of effort made
to make sure that we have some sort of financial
safeguarding in place,” he says, “so that if
something similar were to happen, we wouldn’t
be impacted in the same way. So we’re in a
fortunate position at the moment.”
Essential’s stockists are concerned about the
situation, says Nottle. “The Energy Bill Relief
Scheme is probably going to help a lot of our
customers a lot. For some however I think this
announcement came too late. We’ve seen a few
closures this year as the predictions for the winter
months were looking fairly bleak. However, I do
feel it may help the unease surrounding small
businesses right now.”
The ethical food co-op sector also faces
growing competition from supermarkets, as
well as health chains such as Holland and
Barrett. Marsh says 8th Day is keen to champion
independent health and wholefood businesses.
“We regularly pass customers on to other
independent businesses, who we think suit
their needs better. And we encourage customers
to look for more environmentally friendly
businesses, which are generally smaller.”
In a similar vein, Essential has launched the
Support Our Independents campaign, working
with customers to promote their work, share
their stories and highlight why it is important to
shop with independent businesses.
“We just wanted to share what makes these
businesses really unique and wonderful,” says
Nottle. “We’ve got such a range of customers, all
of which are different.”
The first business to be profiled in the
campaign is Bristol vegan doughnut shop Future
Doughnuts, and more will be profiled in the
coming weeks.
“I think we all just want to help each other,”
says Nottle, “and we want to help our customers
and our local community. I think that’s a large
part of what being a co-op is.”
Both 8th Day and Essential are worker co-ops.
Sometimes this can mean difficult decisions,
such as 8th Day’s agreement to take a voluntary
pay cut at the beginning of the pandemic –
which is still in effect.
“It was a decision we made collectively,
because we wanted to make sure we could keep
as many staff employed as possible,” says Marsh.
“Decision making can be laboriously slow. But
at the same time, because you’ve got a shared
ownership of the business, there’s a shared
will to try and make things work. And so in that
sense, we probably dig a bit deeper than most
other companies. Most other companies, they’ve
probably got one boss, two bosses maximum,
and a whole load of workers who are probably
not paid properly, who are a bit disgruntled ...
Whereas within a co-op… we try to treat each
other really nicely.”
Considering the challenges co-ops now face, a
collective will to survive is needed more than ever.
“We very much see ourselves as custodians of
this business,” says Marsh. “It’s 52 years old and
it’s been built on the back of the hard work of so
many other people. The desire to pass that on in
a good shape means we will dig deep and try and
make things work.”
WE VERY MUCH
SEE OURSELVES
AS CUSTODIANS
OF THIS
BUSINESS ...
THE DESIRE TO
PASS THAT ON
IN GOOD SHAPE
MEANS WE WILL
DIG DEEP
OCTOBER 2022 | 43

Join in
with
Join In Live
IT’S ONE OF THE
BEST WAYS THAT
I KNOW FOR
DIRECTORS TO
HEAR DIRECTLY
FROM MEMBERS
WHO, AFTER
ALL, ARE THE
ONES WHO OWN
THE BUSINESS
By Susan Press
Co-op Group members and customers are being
invited to take part in a national conversation
about policy and priorities as mounting
challenges face the country.
For the first time since 2019, Join In Live is
hitting the road, and meeting with members
and customers in London and Glasgow.
But although lockdown is over, some of its
innovations remain: members still have the
chance to contribute to the discussion via two
online events on Zoom and make themselves
heard as the Group gets to grips with the cost of
living crisis.
Board members, Group leaders and National
Members’ Council (NMC) representatives will
be present at every event to carefully listen to
people’s views on the way ahead in difficult
circumstances.
Democratic projects and services manager,
Simon Plunkett, oversees key events such as
the recent Co-op AGM in May and liaises all year
round with the NMC.
He said: “These are clearly challenging
times and one of the main roles of Council is to
represent members and meet them face to face
so they can give authentic feedback. That’s why
events like Join In Live are very important.”
“As usual, we will be keen to share the
latest news about our half-yearly performance
update, which is published every year in
October. However, although we have an agenda
it is all member-led, broad brush and not
too prescriptive.”
The online events are continuing because
“they were so successful during the pandemic”,
says Plunkett, with more than 200 people
taking part.
“It’s also important that people who can’t make
it in person have a real say,” he adds. “Whether
online or face to face, the Council was very keen
that these events had a reporting focus, sharing
updates from members of the leadership team
about our performance and priorities, and there
will also be an opportunity to share ideas about
new community partnerships.”
At live Q&A sessions, members and customers
can put questions to board members on the
Group’s recent performance and plans for
the future, and there will be a round-table
conversation between NMC members and
Member Pioneer co-ordinators to pick up on the
latest developments.
Despite the economic challenges facing
the Group, its customers and members, basic
principles like tackling inequalities and climate
change are still very much high on the agenda.
Plunkett says: “Our 10-point climate plan
will be very, very key to discussions. And our
members are always interested in Fairtrade and
how we can still live sustainably and affordably
44 | OCTOBER 2022

through the cost of living crisis, so we are keen
to get their ideas on how the Co-op can help.”
Join In Live has earned a formidable
reputation as a real flagship event for the Co-op
National Members Council, which works as the
voice of ordinary members, meeting six times a
year with various elected committees.
Lesley Reznicek has been a Council member
for over seven years and is currently one of the
vice-presidents, for member participation and
members’ voice.
“It’s one of the best ways that I know for
directors to hear directly from members who,
after all, are the ones who own the business,”
she says. “This event will enable us as the
NMC to go back and hold the board to account,
while at the same time hearing real concerns
about issues like the cost of living crisis and the
affordability of food.”
She adds: “At sessions like the Q&A we will
be feeding back the views of members who want
a direct line to the board and to hold them to
account for decisions that they feel concerned
about or where they may feel they have got it
wrong or want them to act differently.
“As a member-run business, we are there
to represent their interests and this is a real
opportunity to do that.”
The face-to-face events will be held in Glasgow
at 10.30am on Saturday, 15 October, and in
London at 10.30am on Saturday, 22 October.
Online events are at 6.30pm on Monday, 17
October and noon on Wednesday, 19 October. The
latter will include live cooking demonstrations
with easy, pocket-friendly recipes. New food
products will also be available to sample at the
live events.
The Group says fair access to food and working
to eliminate food waste as much as possible are
top priorities, and the Join In Live events will
feature news about the latest developments.
These include a new partnership with Your
Local Pantry, which supports communities
across the country around access to cheap
nutritious food via neighbourhood food clubs
and hubs. The initiative is currently offering
affordable food to more than 80,000 people in
over 70 neighbourhoods across the UK.
Another new initiative announced at the
Group’s AGM is Caboodle, a digital platform
that will connect supermarkets, cafés and
restaurants with community groups and
volunteers to redistribute surplus food. It’s still
early days but this is expected to be rolled out by
the Group later in the year.
Kate Allum, who was elected as a Member
Nominated Director just over a year ago, is
particularly looking forward to the Glasgow
event, where she hopes to meet as many
members as possible.
“As a Member Nominated Director living
north of the border,” she says, “I’m keen to
hear about those local issues that are important
to Scottish members and how Co-op can offer
solutions through its products, services and
community offer.”
Join In Live events are all free and open
to everybody. Visit co-operative.coop/events
for more information
OCTOBER 2022 | 45

The
architectural
legacy
of Antoni
Gaudi:
His last, La Sagrada Familia;
his first, a co-op
LA SAGRADA
FAMILIA HAS
BECOME THE
MOST VISITED
SITE IN SPAIN
By David J Thompson
Antoni Gaudi’s La Sagrada Familia in Barcelona,
Spain, is the Catalonian architect’s most
majestic and iconic gift to the world. In the eyes
of his contemporaries, Gaudi was viewed as
God’s architect here on Earth, and in 2010, Pope
Benedict XVI designated it as a basilica for its
religious importance.
La Sagrada Familia (‘The Holy Family’) has
become the most visited site in Spain, with
7 million people a year coming to gaze at its
facade and over 3 million people venturing
inside. If all goes as planned, it will be the last of
Gaudi’s buildings to be completed.
Gaudi began building La Sagrada Familia in
1882. Today, in 2022, construction has continued
on an almost daily basis for 140 years, yet only
eight of the 18 spires Gaudi designed have been
completed. If fully completed as planned in 2026,
the tallest spire will rise to 560 feet, making it the
tallest religious building in Europe. Following
his respect for the magnitude of nature, Gaudi
ensured that La Sagrada Familia would be
one metre (three feet) shorter than Montjuïc -
Barcelona’s tallest hill.
Antoni Gaudi was born in 1852 in the rural
province of Tarragona, Catalonia, and later
attributed the critical impact of nature on his
work to the years of his childhood spent in the
countryside and on the long organised group
hikes he took as a young man. These experiences
also made him a lifelong champion of Catalonia’s
unique language, culture and heritage. Gaudi
saw nature as God’s teaching hand. “The straight
line belongs to man, the curved to God,” he said.
Moving to Barcelona in 1868, Gaudi studied
utopian socialism and became intrigued with
the communal architecture and way of life of
the “phalanstère” of the French philosopher,
Charles Fourier, where 500-2000 people live
within a utopian building, working together for
mutual benefit. Later, he studied the arts and
crafts work of William Morris and the writings of
John Ruskin.
Gaudi also worked with Eusebi Gűell on
creating a Garden City for Barcelona modelled
after Ebenezer Howard, founder of the garden
city movement. That land later became Park
Gűell and retained the English spelling of
‘Park’ as a tribute to the original plan. He joined
numerous organisations which took pride in
their Catalonian heritage and, filled with new
concepts and ideas to promote Catalonia being
known for its own architectural style, Gaudi
went on to become the leading exponent of
Catalan modernism.
Although Gaudi graduated from the Barcelona
Higher School of Architecture in 1878, he had
already begun using his skills as an architect.
In fact, Gaudi signed drawings for his first
building that same year, a projected community
for a worker’s organisation called La Obrera
Cooperativa Mataronense. Set up in the nearby
port city of Mataro in 1860, the organisation
became a co-operative in 1864.
From about 1877-1883, the co-operative
employed Gaudi to design its complete ideal
workers’ live-work community. Salvador
Pages, the instigator of the co-operative and
later a leader in the co-operative movement in
Catalonia, wanted a co-operative community
that unified the textile workers together in
their 36 on-site homes, communal spaces and
industrial workshops. Gaudi knew the purpose
of these buildings was intended to magnify the
lofty linkages of labour and life.
Of Gaudi’s plans for the co-operative
community, only two houses, the caretaker’s
office, the restrooms, the chimney and the
parabolic arched bleaching warehouse
46 | OCTOBER 2022

(completed in 1883) were built and occupied.
Regrettably, the co-operative closed in the late
1880s with few people at that time understanding
the site’s architectural significance as Gaudi’s
first buildings.
It was not until 1999 that the city of Mataro
took action to preserve what remained of the
much-altered warehouse building, the chimney
and the toilets, but it decided to demolish the
remaining modified co-operative buildings.
Because of the complexity of restoring the arches
of the warehouse building to its former parabolic
glory, it was not re-opened until 2008. In 2010,
the building was given an additional valuable
purpose by becoming the home of the Museum
of Contemporary Art Consortium of Mataro.
In 2013, on the 130th anniversary of the
construction of the warehouse, Gaudi scholars,
architects and Catalonian leaders gathered in
the rebuilt and refurbished warehouse to adopt
the Declaration of Mataro. The declaration
committed the signers to, among other topics,
“ensuring that Antoni Gaudi continues being a
heritage that Catalonia shares with the citizens
of the world”.
However, La Obrera Cooperativa Mataronense
was to play one other critical but sad role in the
personal life of Gaudi. While working on the
building plans for the co-operative, Gaudi fell
in love with Pepeta Moreu, a talented teacher
at the co-op. Pepeta was from a cultured family,
well educated, up-to-date on current issues and
progressive in spirit and action. Pepeta and her
sister hand-embroidered the stylish art nouveau
banner that Gaudi designed for the co-operative.
Gaudi began to visit the Moreu family at their
home close to him in Barcelona every Sunday.
At one point, Gaudi asked Salvador Pages to
inform Pepeta of his desire for courtship and
then marriage. Moreu’s reply to Gaudi was
devastating and life-changing; she could not as
she had another suitor.
By this time, the co-operative’s warehouse
had been completed Gaudi’s work in Mataro
was finished. Gaudi left the Moreu home that
night, and never again returned to Mataro,
never married and remained a celibate, brokenhearted
bachelor for the rest of his life.
Between 1882 and 1915, Gaudi completed many
other architectural works, created especially for
his patrons and friends, including Casa Milà
(La Pedrera, declared a World Heritage Site by
UNESCO in 1984), and Casa Battló. Although
Gaudi earned an international reputation, most
of his major works are found in Barcelona.
From 1915 on, Gaudi gave his heart completely
to God. La Sagrada Familia was Gaudi’s gift
to the earth – but for him, the plans were
commandments from above for Gaudi to turn
into the Glory of God. Everything possible is
being done to complete La Sagrada Familia
by 2026. That date would coincide with the
p Sagrada Familia
Cathedral, Barcelona
(Image: Vladislav
Zolotov/GettyImages
OCTOBER 2022 | 47

GAUDI BUILT
LA SAGRADA
FAMILIA FOR
GOD, BUT HE
DESIGNED
LA OBRERA
COOPERATIVA
MATARONENSE
FOR HUMBLE
WORKERS AND
THEIR FAMILIES
q La Obrera
Cooperativa
Mataronense (Image:
ESM/CC BY-SA 4.0)
commemoration of the 100th anniversary of his
death. No doubt, Gaudi will feel his life on Earth
was of use if he sees God is pleased with the
completed La Sagrada Familia.
In 1915, Gaudi said, “My good friends are
dead; I have no family and no clients, no fortune
nor anything. Now I can dedicate myself entirely
to the Church.”
As La Sagrada Familia began to take form,
Gaudi became consumed by the thought of
fulfilling his legacy. Earlier in his life, Gaudi had
been a young, fashionably dressed bon vivant.
As years went by, his growing pious Catholicism
played such an increasingly large role in his
daily life that he became an aesthete, wearing
clothes until they were threadbare. From 1925
on, Gaudi slept nightly in a cot in the crypt below
La Sagrada Familia.
It’s possible that Gaudi’s strong commitment to
Catholicism might have been what accidentally
led to his death at age 73. On 7 June 1926, he left
his studio at La Sagrada Familia to go for his
daily walk to a nearby church for mass. While
crossing the street, he was knocked over by a
tram. Because he was elderly, and resembled
a penniless beggar, he was dragged away from
the tram tracks and left seriously injured on the
pavement without receiving any assistance.
With no identification on him, Gaudi lay
unconscious for hours until some persistent
Samaritans implored a Guardia Civil to
commandeer a taxi to take him to a hospital,
where he received limited care. By the time his
colleagues found him, his serious condition had
deteriorated so badly that additional care was
fruitless and he died. Days later, the citizens of
Barcelona bid farewell to him in the Chapel of
our Lady of Mount Carmel within the crypt of La
Sagrada Familia.
And, yes, Gaudi built La Sagrada Familia for
God, but he designed La Obrera Cooperativa
Mataronense for humble workers and
their families. His inspiring, gracious and
unforgettable architecture honoured both his
clients here on earth and above in heaven.
David J Thompson is one of the most published
writers in the USA about the co-operative sector.
He has visited a number of Gaudi’s buildings
in Barcelona and written about Spanish cooperatives.
He has an MA in architecture and
urban planning from the University of California
at Los Angeles where he was given the Dean’s
Award for Community Service. He is president
of the Twin Pines Cooperative Foundation and
a member of the US Cooperative Hall of Fame.
David has written and contributed to a number of
books and over 400 articles about cooperatives.
See npllc.org and community.coop
48 | OCTOBER 2022

www.cch.coop cooperative.housing #coophousing22
Sustainability –
rethink:reset’
2022
14-16 October
2022
Chesford Grange Hotel
Kenilworth CV8 2LD
The 27th Annual Conference of the Confederation
of Co-operative Housing is an opportunity for the
co-operative housing sector to come together to
discuss how we rethink the future and reset where
we are going in terms of regulation, sustainability,
net zero, and much more.
The conference brings together over 120
housing co-operators, community led housing
professionals and those with an interest in
housing co-operatives and other forms of
community led housing from across England,
Scotland and Wales.
Please scan the QR code to find out more
about the conference.
Exhibitor
opportunities
Our exhibition stand packages
range from £500 to £850,
other options are:
• Advert in our
Conference Guide
• Flyer or promotional item
in conference packs
• Bursary sponsorship
• And more
email: jane@cch.coop
for more information
and prices

DIARY
Do you have a co-operative
event – taking place in person,
online, or as a hybrid – to be
featured?
Tell us at: events@thenews.coop
Cooperative IMPACT Conference
5-6 October (Washington DC and online)
Under the theme “Forward, Together”
NCBA CLUSA’s IMPACT 2022 will
challenge co-ops to come together and
capture a generational opportunity:
applying the lessons of the past two years
to our work as we move forward.
bit.ly/3APetY4
Co-op Party Conference
8-9 October (Leeds)
From Crisis to Co-operation: the Co-op
Party’s annual conference will bring
together members and supporters from
across the co-operative and labour
movements to learn more about its work,
help shape Party policy and discuss
priorities and campaigns.
party.coop/event/annconf022
Co-ops and social enterprises
12 October (London)
A session to better understand the terms
Co-operatives and Social Enterprises and
how to access resources available.
bit.ly/3tUey9h
CCH Annual Conference
14-16 October (Warwick)
The Confederation of Co-operative
Housing will bring together the UK’s
housing co-op housing sector under the
theme Sustainability – rethink:reset
cch.coop/cch-annualconference-2022
World Coop Management conference
17-18 October (Brazil)
Coonecta organises WCM2022 as the
world’s biggest co-operative sector
management event, covering innovation,
technology and practical learning for coop
thinkers and leaders.
wcm.coop/WCM22
Cooperative Ways Forward
20-21 October (Manchester)
Over 150 co-operators will gather at the
city’s Central Hall to share information
and strengthen the co-operative networks
that are needed to act on pressing issues
including climate justice and how to
build effective alliances to address the
need for systemic change
waysforward.coop/about/
ICMIF Centenary Conference
25-28 October 2022 (Rome)
The ICMIF Centenary Conference will be
hosted by the Unipol Group, an ICMIF
founding member, in Rome, where the
organisation was formed.
icmif.org/icmif-conference
Owning the Future
4-6 November (Rio de Janeiro)
Organised by the Platform Cooperativism
Consortium, the event will look at how
platform co-ops in the Global South can
scale to successfully compete with large
tech companies.
bit.ly/3QbdExI
Locality Convention
8-9 November 2022 (Sheffield)
Locality’s annual convention brings
together people who believe in the power
of community to explore how best to
build thriving neighbourhoods and how
policymakers can support this.
locality.org.uk/events/
convention-21-2
Co-operative Women’s Voices:
Tiziana O’Hara
15 November (11am-12 noon, online)
CWV is a series of monthly interviews
with women from the global co-op
movement. November’s guest is Tiziana
O’Hara, from Northern Ireland’s
Cooperative Alternatives.
bit.ly/3SiYcAY
Young people and the future of
cooperation in Europe
21 November (Cardiff)
Cwmpas and Cooperatives Europe will
welcome co-operators from across Europe
to explore the role of young people in the
co-operative movement.
bit.ly/3DM2c8I
Practitioners Forum
23 November (Manchester)
Organised by Co-operatives UK, the
Practitioners Forum is a professional
training and development opportunity,
featuring specialist forums.
bit.ly/3LCUHTz
50 | OCTOBER 2022

LEARNING AND NETWORKING
FOR CO-OP PRACTITIONERS
Wednesday 23 November
The Studio, 51 Lever St,
Manchester, M1 1FN
Book your places now at
www.uk.coop/pf

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