What citizen investors say about municipal investing
Source: Abundance 'Wider Impact of Municipal Investments' survey, August 2026. Figures for investors who had invested in their own council, or a council they had a connection to.
Benefits today
We have an ambitious vision for what our municipal investments could one day become, but it is also essential that our citizen investment programmes work for councils from day one: saving money on borrowing costs and increasing engagement across the community.
A simple model that delivers cost effective borrowing
When we set up our municipal investment model in 2020, one of the primary aims was to ensure value for money. We wanted these investments to sit alongside other borrowing within authorities’ treasury management strategies, providing a diversified source of funding. Our experience so far is that our municipal investments have delivered on this goal.
Our approach is also designed to minimise additional work for treasury teams. Loans are issued through a single platform partner and integrate with existing borrowing processes and reporting structures.
29bp
Average saving compared with the equivalent PWLB certainty rate, calculated at the point of investment.
Data correct as at 21st September 2026. Saving includes all fees and platform costs
Building trust through showcasing delivery
Municipal investments give councils a practical way to show residents what you delivering locally. Research suggests that focusing on effective project delivery is an good way to create and increase trust between local government and citizens. Our municipal investments are the evidence that proves the theory holds up in the real world.
A citizen investment programme gives you an opportunity to widely communicate your plans to create a thriving future for your place. Through your investor updates, you can show how you are delivering on those plans. It all adds up to a powerful way of building a partnership with citizens, and making them feel a part of the future of their place - our research shows that investors really value that.
Engaging the entire community
Our municipal investments are designed to engage everyone across the communities council serve, and our real-world data over the past six years has shown this to be true.
Where investing is often only relevant to the more affluent, our municipal investments are reaching citizens from a wide range of backgrounds - ordinary people who want to take control of their financial futures and make the places they live better.
Who is investing
Citizen investors
3,200+
Youngest investor
20
Oldest investor
96
% investments under £500
67%
Reaching investors across the community
We have used Index of Multiple Deprivation (IMD) analysis to look at our citizen investors, and the analysis shows engagement from a broad demographic.
Our analysis finds that 28% of investors are in deciles 1 - 3, and a further 37% are in deciles 4 - 6. This socio-demographic reach is far broader than conventional financial services products, where adoption is typically concentrated in deciles 6 - 10.
Source: Abundance analysis of new investors into councils, August 2026
Offering real value for citizens
A municipal investment can be a real ‘win-win’ for councils. They offer cost-effective borrowing for councils, but we have found that they also provide tangible and valuable benefits for citizens.
Our research shows two key motivators for investors. People are attracted both for the direct impact - seeing exactly how their money is being used to build a better future for communities - and the competitive, low risk returns the investments offer.
Today’s market data reinforces evidence that there is strong demand for municipal investments. We know that over half of UK adults already use comparable products - like fixed term deposits and NS&I bonds (Source: OnePoll 2025).
An investment with real value for citizens
49%
interested in municipal investments to fund green projects
43%
interested in municipal investments to fund social projects
56%
of people have similar financial products already
58%
of people interested like the idea of their money making a positive difference in my community
Source: OnePoll 2025. Similar products = NS&I, fixed rate ISA, annuities, government gilts
Key benefits for citizen investors
Regular interest payments
Payments every 6 months to reinvest or withdraw as cash
£5 minimum investment
Everyone invests on the same terms
ISA eligible
Invest through an Innovative Finance ISA
No fees for investing or withdrawing
The rates quoted are the rates investors receive
Marketplace service
Investors who want to exit early can list investments for sale
Reinvest to grow a savings pot
By keeping their money working, investors can increase their nest egg