TLDR: The Irish League of Credit Unions reported a record loan book of €6.7 billion in Q2 2026, driven by increased lending demand and robust credit quality. With a significant rise in mortgage lending, credit unions are becoming a go-to option for members looking for both everyday and major loans.
The latest figures from the Irish League of Credit Unions (ILCU) reveal a thriving sector, with their loan book hitting a staggering €6.7 billion as of March 2026. This marks an impressive increase of 1.9% during the second fiscal quarter of the year and a striking 9.6% rise year-on-year. New loans issued in this quarter alone have surged by 11.5%, reaching €735 million, indicating a growing appetite for borrowing among credit union members.
Interestingly, the mortgage segment is also on an upward trajectory, expanding by 4% in the past quarter and a robust 24% year-on-year. Mortgages now make up 11.7% of the total loan book, with the ILCU’s mortgage book climbing to €782 million. This trend reflects the broader shift in consumer behavior, as members increasingly turn to credit unions not only for day-to-day loans but also for substantial life decisions, such as purchasing homes.
The average loan balance is now at a high of €11,319, but perhaps more telling is the overall loan arrears ratio, which remains remarkably low at 2.21%. This is nearly a record low, showing that borrowers are managing their repayments well—a sign of strong credit quality. The ILCU’s total assets have also increased to €19.82 billion, with savings rising by 5.3% year-on-year to €16.53 billion. Such figures underscore the resilience and stability of credit unions amid economic fluctuations.
David Malone, the CEO of ILCU, expressed optimism about these results, emphasizing that the growth in higher-value lending points to a solid trust that members have in their credit unions. He noted that the sustained increase in mortgage lending is especially significant, with the sector now surpassing the €1 billion milestone. Malone’s remarks highlight the role of credit unions as reliable players in the mortgage market, providing necessary options for Irish consumers navigating major financial decisions.
Now, while these numbers look good on paper, one has to wonder: are credit unions riding a wave of trust, or merely benefitting from a gap left by banks that have long been viewed with suspicion by the public? It’s a fair point that needs some consideration. With our banks often embroiled in controversies concerning higher fees and less favourable rates, credit unions are seizing the chance to showcase themselves as community-oriented, member-first institutions. They certainly have a reputation to uphold after being voted Ireland’s most reputable organisation for the fourth consecutive year. Might this be a sign that the tides are shifting away from conventional banking?
Fun fact: Did you know that credit unions serve over three million members in Ireland alone? That’s more than half of the adult population—no small feat for this financial network!
