Credit Union Loan Book hits record high of €6.7bn as lending demand accelerates

Posted on: 26 Jun 2026

The Irish League of Credit Unions (ILCU), which represents more than 90% of credit unions in the Republic of Ireland, has today released the Q2 2026 (January – March 2026) results, highlighting continued growth in lending across the sector.
 
Overall, the results point to strong and sustained demand for credit union lending, with total loans outstanding rising to a record high of €6.66 bn. This represents a 1.9% increase in the quarter (from €6.54 bn in Dec 2025), and a 9.6% increase on the previous 12 months (from €6.08 bn in Mar 2025), marking another step forward in the sector’s ongoing expansion.
 
Credit unions issued €735 million in new loans during the quarter, representing an increase of 11.5% in value compared to the previous quarter.
 
Mortgage Lending
Mortgage lending continues to be a key driver of growth. The total mortgage loan book among ILCU-affiliated credit unions reached €782 million by the end of Q2 March 2026, representing a 4% increase on the previous quarter and a 24% rise year-on-year. Mortgages now represent 11.7% of the overall loan portfolio, up from 10.4% last year in Q2 March 2025.
 
The average loan outstanding also rose to a new high of €11,319 and this robust growth in lending is underpinned by strong credit quality. The overall loan arrears ratio remains at a very low level, overall arrears ratio was 2.21% in Q2 March 2026, close to the record low of 2.20% recorded in Q4 Sept 2025.
 
The loans-to-savings ratio increased to 40%, reflecting continued progress in the deployment of member savings to support lending activity.
 
Commenting, David Malone, CEO of the Irish League of Credit Unions said:
 
“These results reflect continued strong performance by credit unions across the country. The growth in higher-value lending is particularly encouraging, demonstrating that members are increasingly turning to credit unions not only for day-to-day borrowing needs, but also for major life decisions. That trend is a powerful reflection of the trust members place in their local credit union, as evidenced by the recent win of Ireland’s most reputable organisation for the fourth year in a row.”
 
“The sustained growth in mortgage lending is especially significant, with the sector’s total mortgage lending now surpassing the €1 billion milestone. This achievement underlines that credit unions are providing real choice and competition in the mortgage market while supporting members through some of the most important financial decisions they will ever make.”
 
Growth in Total Assets, Savings and Membership
Alongside continued growth in lending, credit unions maintain a strong and stable financial position.
 
Total assets increased to €19.82 billion, while savings rose to €16.53 billion, reflecting a 5.3% increase year-on-year. Capital levels remain robust at €3.18 billion (16.02% capital ratio), well above regulatory requirements, and liquidity remains strong at 27.91%, equivalent to €4.28 billion in liquid assets.
 
Membership is expanding across the credit union movement with over 74,300 new members joining over the last 12 months. There are now 3.36 million credit union members in ILCU affiliated credit unions, with Ireland continuing to have one of the highest levels of credit union membership per capita worldwide.
 
Credit Union Life Savings & Loan Protection Benefits
Credit unions’ provision of insurance cover to eligible members at no direct cost continues to be a critical financial lifeline for families facing bereavement. In the three months from January to March 2026, ILCU-affiliated credit unions paid out €9.8 million in Life Savings benefits, helping to ease the immediate financial burden faced by 4,200 families. In the same period, loan protection cover cleared almost €4.4 million in outstanding loans relieving almost 650 families of the burden of repaying a deceased member’s loan.
 
With the recent announcement of the commencement of the Credit Union Strategy Project, a Programme for Government commitment supported by the Department of Finance, David Malone concluded by outlining the opportunities ahead for the credit union sector:
 
“Credit unions are central to our economy and society, providing much needed access to competitive financial products and giving back significantly to communities across the country in the form of donations, sponsorship and education bursaries. We have an opportunity now to do even more. Credit unions are working together on developing a sector-wide approach to futureproof the credit union movement and enable the sector to seize the opportunities ahead. This collaborative approach will help ensure credit unions remain strong, relevant and ideally positioned to meet the evolving financial needs of members right across Ireland.”
 
ENDS 
 
Notes to Editor
Please note that the Credit Union Financial Calendar is as follows:

• Q1 - October 2025 to December 2025

• Q2 - January 2026 to March 2026

• Q3 - April 2026 to June 2026

• Q4 - July 2026 to September 2026

Summary of Quarter-on-Quarter Financial Performance
The table below shows a comparison of the quarters ended December 2025 and March 2026 financial results.

 
 
Summary of Annual 12 Months Financial Performance
The table below shows a comparison of the 12 months ended March 2025 and March 2026 financial results.
 

 
 
Note: ILCU data includes data from 91% of active CUs in the Republic of Ireland.