Mutual societies are owned and democratically controlled by their members and usually aim to benefit members or the community.
There are more than 10,000 mutual societies in the UK. These include:
- building societies
- registered societies (including co-operative and community benefit societies, formerly known as ‘industrial and provident societies’)
- friendly societies
- credit unions
What the FCA is responsible for
We are responsible for:
- registering new mutual societies
- keeping public records
- receiving annual returns
We are not responsible for:
- registering co-operative and community benefit societies or credit unions in Northern Ireland
The FCA and the Prudential Regulation Authority (PRA) are also jointly responsible for regulating mutual societies carrying out regulated activities. For example:
- all building societies and credit unions are authorised to accept deposits
- some friendly societies are authorised to carry out contracts of insurance
Regulated mutual societies have access to the:
Borrowers from societies with consumer credit activities registered with the FCA also have access to the Financial Ombudsman Service on issues relating to their loans.
Members and customers of societies not regulated by the FCA and PRA don’t have access to the Financial Ombudsman Service or the FSCS.