Five large credit unions have joined forces to establish a company that is aimed at evolving into single body to manage treasury functions for dozens of sector players, with a view to boosting mortgage and business lending.The new company, CU Asset & Liability Management Company, trading as CCU CUSO, has been established as a precursor to a corporate credit union (CCU), subject to the Central Bank setting rules for such organisations, the group said in a statement on Monday. Laws introduced in 2023 to help develop credit unions introduced the concept of a corporate credit union (CCU) – a credit union for credit unions – to support collaboration and pool certain resources. However, it is expected to be late next year before the Central Bank outlines the regulations required for CCUs for this section of the legislation to begin.The five credit unions leading the project are comprise of St Raphael’s Garda Credit Union, Member First Credit Union, Health Services Staff Credit Union, First Tech Credit Union, and Comhar Linn INTO Credit Union.A total of 26 credit unions with combined assets of almost €9 billion – equating to more than 40 per cent of the sector’s assets – have committed to joining this precursor company, known as a credit union services organisation (CUSO). Other credit unions will be invited to join the project in the coming months, according to the statement. The new company is chaired by Declan Norgrove, a former senior PTSB executive, who served as interim chief financial officer before retiring in 2022. Its acting executive director is John Webb, who has previously worked in senior treasury and risk management roles in Ulster Bank and AIB. [ Credit Union lending continues to climbOpens in new window ]It aims to develop and roll-out a standardised asset and liability management framework to all participating credit unions, in preparation for a centralised treasury function. It also plans to develop alternative sources and methods of funding for credit unions that are currently available to other financial institutions. Last year, the Central Bank gave the credit union movement additional lending flexibility, which, it estimates, would treble the sector’s capacity for mortgage and business lending to about €9.9 billion.How many new homes does Ireland really need? Listen | 42:23Effective from last September, credit unions, regardless of size, can lend up to the equivalent of 30 per cent of their total assets by way of home mortgages. Business lending can reach as much as 15 per cent of assets.