A bottom-up design that puts CDFIs in the driving seat

The £4 million programme breaks from the top-down logic of many institutional grants. Rather than prescribing what CDFIs should do with the funding, Responsible Finance invites member institutions to assess their own operational gaps and submit applications built around those specific needs. Technology upgrades, additional staff, marketing capacity, leadership development — all are eligible, and the mix varies from one CDFI to the next.

This design reflects a core conviction shared by JPMorgan Chase and Responsible Finance: that the organisations closest to underserved communities are also best placed to know what they need. CDFIs already direct 60% or more of their lending to disadvantaged communities, with 41% going to women-led businesses and 24% to ethnic minority-owned enterprises. Giving them the autonomy to build operational strength — on their own terms — is both a practical and a principled choice.

Hear Colleen Ebbett and Daniel Davis discuss the full initiative on The Responsible Finance Podcast →

Capital plus capacity: the broader ambition behind the programme

The £4 million investment does not stand alone. It is explicitly conceived as a complement to the British Business Bank's Community Enabled Fund — a £150 million commitment channelled through CDFIs — creating what the episode describes as a "capital plus capacity" model. More money to lend is necessary, but not sufficient. CDFIs need the systems, people and processes to deploy that capital effectively and at scale.

"For economic growth to reach all areas of the country, particularly underserved or under-invested regions, it has to be intentionally inclusive."
— Colleen Ebbett, JPMorgan Chase

The sector's five-year ambition is substantial: £1 billion in additional lending to 15,000 additional businesses, conditional on the right commercial vehicles and institutional infrastructure being in place. The capacity-building programme is a direct investment in making that ambition achievable — ensuring that CDFI members like First Enterprise have the operational foundations to absorb and deploy larger volumes of lending without compromising the quality of support they offer to small businesses.

JPMorgan Chase's philanthropic commitment in the UK — totalling £90 million since 2019 — frames this £4 million initiative not as a one-off, but as part of a sustained, evidence-based strategy to build an inclusive SME finance ecosystem. Explore the full conversation on Listenly →