Social Impact Banking : How Your Deposits Drive Impact
Most of us try to make sustainable choices about what we eat, wear, and support. But when it comes to our savings, we often assume that money just sits safely in a bank and earning interest. In reality, your money is always working for you and for your bank. And depending on where it is held, it might be supporting industries that conflict with your values. That is where social impact banking makes a difference. It offers a more purposeful way to use your money for good.
At Reliance Bank, we believe in “Giving Money Meaning.” This blog explores how social impact banking differs from traditional banking and how your deposits can create a positive social impact while helping you achieve your financial goals.
What is Social Impact Banking?
Social impact banking is a model where banks and financial institutions intentionally invest in businesses and organisations that create a positive impact by addressing social challenges. Unlike traditional banking, which primarily focuses on maximising profits, social impact banking strategically blends financial services with ethical, social, and environmental missions.
- Purpose beyond profit: The core mission isn’t just to make profits, but to create social value for people and communities in need. This includes organisations working to provide affordable housing, operate food banks, or support faith-based initiatives.
- Serving the underserved: Social impact banking supports communities often overlooked by mainstream banks, providing them with funding to better serve their needs.
- Tangible results: For ethical banks, success means more than making profits. It’s measured by the lives changed, the communities strengthened, and the long-term benefits to society.
What happens to your deposits at most banks?
When you save money with a traditional bank, your money does not just sit in your account. In most cases, that money is lent or invested in sectors that many find ethically troubling.
Many banks use customers’ money to back industries such as:
- Fossil fuels
- Arms and weapons manufacturing
- Gambling or fast finance
- Tobacco
This lack of transparency means most savers have no idea how their money is being used, or how it might be contributing to environmental or social harm.
But here is what many do not realise: your money has the power to do good when placed in the right hands.
At Reliance Bank, we believe your money should be used to do good. And we can show you exactly how.
How Reliance Bank uses your deposits differently
At Reliance Bank, we make sure your money is used for good purpose. Reliance Bank has been at the forefront of social impact banking since 1890 when we were founded as The Bank for The Salvation Army. The money you deposit with us is used to contribute to providing funding to organisations delivering a positive social impact in the UK. Our borrowers include registered charities and mission-led organisations working in sectors like:
- Community
- Faith
- Healthcare
- Social Housing
We are a distinctive specialist bank, delivering positive societal outcomes aligned to the mission of The Salvation Army. This means we only lend to organisations that meet strict ethical criteria. We do not invest in sectors such as weapons, fossil fuels, gambling, and tobacco.
How do ethical banks use your deposits?
Your deposits do not sit in a bank vault; they help organisations do incredible work. Here is how your money drives change through Reliance Bank.
1. Deposits collected
Deposits made with us — ranging from £1 to £10 million — form the foundation of our lending capital. We offer a range of ethical savings accounts for:
Every little deposit you make helps us create something impactful for people in need.
2. Funding provided to social enterprises
We follow a strict ethical lending criteria for every funding decision. Potential borrowers are carefully assessed by our dedicated team to ensure they meet our standards for financial viability and demonstrate a meaningful social impact within their communities.
We have supported organisations in the following sectors:
- Charities providing food, shelter, and care
- Housing associations building affordable homes
- Treatment centres that help people affected by gambling-related harm
- Healthcare organisations supporting vulnerable groups
Here is a glimpse of the funding we have provided to organisations delivering positive social impact in the UK:
- City Praise Centre: We recently helped the UK registered Charity “City Praise Centre” secure funding that enabled them to:
- Reduce hunger for 1,200 people
- Open a Homeless Shelter
- Start a successful midweek parents and toddlers club, and a large youth club and kids’ church
- Create and maintain one foodbank
- ‘Adopt’ a local school where they conduct regular sessions on what Christianity means
- Run outreaches to a local nursing home
- Involve with Street Pastors and School Pastors
- Create and protect 5 jobs
- Lead missions to India and so much more
Read the full case study here.
- Steiner School: We helped “Steiner School” remortgage to release funds for development of their sire. “Steiner School” is a co-educational school based in South Devon that follows the Steiner Waldorf curriculum, which integrates ethical values with creative exploration and experiential learning for students aged 3- to 19-year-old.
Read the full case study here.
Funding like this strengthens communities and it is your savings that help us make this possible.
3. Profit donations
We donate up to 75% of our profits to The Salvation Army International Trust, where it’s used to support their evangelical and charitable work around the globe. Over the past 15 years, we have donated more than £8 million to The Salvation Army in both the UK and abroad to help them in their mission of supporting communities in need.
How we keep our customers informed
At Reliance Bank, our values – Partnership, Responsibility, Integrity, Compassion and Equality – guide everything we do.
We believe in transparency with our customers. That is why we publish a detailed Social Impact Report every year, showing exactly where your money goes and the positive impact it makes.
View our 2023 – 2024 Social Impact Report below.
Social Impact Report 2023 – 2024
While our focus is on putting money to good use, we also adhere to strict regulatory standards as an FCA-regulated and PRA-authorised and regulated bank, ensuring that your money is safe and well-managed.
Why join Reliance Bank?
Because your money has the power to change lives for the better.
If you believe in building a better world and want to make an impact with your finances, ethical banking is the way to go. By choosing Reliance Bank, you are aligning your savings with ethical values. Whether you are an individual saving for the future, or a business looking to bank responsibly, your deposits help fund projects aiming to support communities in need across the UK.
Benefits of Banking with Reliance:
- Choice of savings accounts
- FSCS protection of up to £85,000
- Relationship-first approach
- Contributions to community development
- Alignment with ethical values
Our Customers trust us
Reliance Bank have been awarded First place overall in the 2025 Charity Finance Banking Survey! This shows that Reliance Bank outperform high street banks for customer satisfaction. We also achieved first place in the following categories:
- Telephone services
- Internet services
- ESG Credentials
- Branch service
This is a testament to the effort we put into treating our customers fairly and responsibly.
Switch to Social Impact Banking and start saving for good
Ready to make your money work harder for good? Explore our range of ethical accounts designed to support your goals and values – whether you are an individual, business or a charity.
Business Bank and Savings Accounts
Charity Bank and Savings Accounts
Current Account for Businesses and Charities
Or you can also speak to our friendly Customer Experience Team to find out how switching to Reliance Bank can help you amplify your social impact.
FAQs about Social Impact Banking
1. How does Reliance Bank ensure the money is not lent to harmful industries?
RBL conducts due diligence on all new customer and material supplier relationships. These reviews include a robust assessment such that the Bank does not conduct business with individuals or entities:
- whose main source of income is derived from sales of tobacco, fossil fuels, alcohol, gambling, pornography or armaments
- who do not conduct their business affairs in a socially responsible manner.
Large banks inevitably choose to support these types of companies, but because of our size and our shareholder, we can be selective about our customers. We want depositors to be confident that their money really is only going to support a positive impact in society.
2. What is the minimum deposit needed to open an ethical savings account?
Reliance Bank offers savings accounts that can be opened with as little as £1, depending on the type of account. For more details, please visit our website here and review the product page for the account you wish to open.
3. Can I choose which social causes my deposits support?
While individual deposits are not allocated to specific projects, Reliance Bank provides transparent reporting on all funded initiatives, enabling customers to see the collective impact their banking choices help create.
