A SCHEME to bring a credit union to York has come a step closer to reality.

The move follows the recent award of development funding from both City of York Council and the Joseph Rowntree Charitable Trust.

Work is now going on to finalise the body's authorisation with the Financial Services Authority, and it is expected that operations will commence in November.

The union is holding an open evening for people interested in volunteering next Wednesday.

The organisation, which is being set up to help fight poverty in the city, hopes to recruit more than 1,000 volunteers in its first year.

York Credit Union is a local, non-profit making financial co-operative, established to provide a straightforward savings and loans service for anybody who lives or works within the city.

Credit unions rely on volunteers to provide their services, and they are managed and controlled by a volunteer board of directors.

Volunteer co-ordinator Peter Norton said as well as management positions there would be many other roles that volunteers could perform.

These could include running a collection point in a community centre, performing administrative tasks in the office or promoting the work of the credit union around the city.

Mr Norton said: "The launch of a credit union is something completely new and exciting for York.

"We need volunteers to join us to help make it a success and in return they will gain the satisfaction of making a real difference in the city."

The scheme was given a huge boost by council chiefs who handed the organisation a £25,000 grant.

Council leader Steve Galloway, agreed to use part of a £100,000 underspend in the authority's annual budget to help the fledgling organisation.

The Joseph Rowntree Foundation have given a grant of £56,000 over the next two years.

The volunteer's event on Wednesday will take place in the Denham Room at the Priory Street Centre, starting at 6.30pm.

People will be able to find out more about credit unions and meet with some of the current volunteer directors. Councillor Janet Looker, the former Lord Mayor, will address the event.

Anyone interested in volunteering can come along or contact Peter Norton on 01904 676633 or by email at office@ycu.org.uk for more information.

Updated: 10:31 Thursday, September 01, 2005