Neyber has joined forces with Staffcare, opening up access to as much as 10% of the UK workforce.
The fast-rising Neyber – an online lending platform for salary deducted loans – has been chosen by Staffcare to provide loans across its UK employee customer base. Staffcare provides benefits administration and communication software to over ten thousand private and public sector organisations, from the very large to the very small. More than three million people use the platform. Neyber claims that the tie up gives it an immediate addressable market which is equal to 10% of the UK workforce.
Neyber officially launched in January this year, when it closed a £6m Series A funding round. The platform had already lent £8m at launch thanks to a year-long partnership with Police Mutual while in beta mode. Police Mutual has been assisting officers, staff and their families with their finances for over 140 years, and boasts around 200,000 members. At the time of its launch, Neyber stated that its ambition was to top £100m in cumulative lending by the close of 2016.
Partnerships of the kind agreed to with Staffcare are integral to Neyber’s expansion plans. The platform relies upon employers to advocate its services to employees as its primary means of origination.
Neyber claims to have delivered an effective 5% pay rise to the "majority" of its existing borrowers to date by consolidating existing debts, thus saving them up to 20% on monthly repayments. The platform released a study on the financial wellbeing of British workers on Wednesday of this week. The headline finding was that “financial stress” costs the UK economy £120.7bn, with 70% of the nation’s workforce admitting to wasting a fifth of their time at work worrying about their finances. Neyber is clearly pitching itself as the panacea to this problem. The Staffcare partnership ought to significantly expand the platform’s reach.
Staffcare Founder and CEO Phil Hollingdale commented on the tie-up: “Neyber offers the most compelling new employee benefit that we've seen and that’s why we’re happy to conclude this agreement and recommend Neyber to our clients and partners. The combination of Neyber’s attractive loan product and Staffcare’s cutting edge technology will help to revolutionise the provision of financial employee benefits in the UK.”