Penrith

Nestled in Cumbria’s picturesque Eden Valley, the market town of Penrith is home to the UK’s smallest building society. Founded in 1877, it employs 28 staff in its single branch and head office, providing mortgages and savings to members both locally and further afield. There aren’t many opportunities to train to become a chartered accountant in such a beautiful rural location and small, friendly organisation – but it’s one that Elspeth James, Penrith’s Finance Director, is delighted to be able to offer.

“We’re seen as a good local employer, and we’re able to offer opportunities for young people who don’t necessarily want to go away to university and leave the area,” she explains. “When I trained – my background was with KPMG – that opportunity didn’t really exist. So to be able to offer something like ACA training to an individual without them needing to go and be part of a large firm is really nice.”

Penrith became an ICAEW Authorised Training Employer in 2016, when Elspeth took on her first ACA student. At the time, before the Apprenticeship Levy was introduced in England, that meant a substantial investment for the business. Now, being able to take advantage of apprenticeship funding makes training young people much more viable. “The fact that there is the apprenticeship route, particularly around the Level 7 and not just the Level 4, is really important to us,” says Elspeth. “We don’t pay into the levy because we’re so small, so it makes it infinitely more attractive for a local employer like us where the cost base is challenging at the best of times.”

There are currently three apprentices at Penrith, two studying towards business service qualifications, and ACA trainee Lucy Hodgson. Lucy first approached the building society looking for work experience while still at school. “I knew I didn’t want to go on to university and was unsure of what I wanted to do as a career, but I could see myself working in a financial or accountancy-based setting,” she explains. “I’ve lived in Penrith my whole life, and I liked the idea of working for a local business that primarily focuses on helping local people.” She impressed the team so much during her placement that she was offered a Saturday job as a branch cashier. Then, once she had completed her A levels, she joined full-time as a finance assistant.

Elspeth was keen to give Lucy as much experience as possible, and the opportunity to study towards a professional qualification. “Lucy is a very bright individual,” she says. “She just didn’t have that desire to leave home and her family. We offered to put her through AAT, give her that grounding in finance, and see where she goes from there. And she’s been an absolute star. She spent a day at college in Carlisle each week, and on the other days we complemented what she was learning with little projects to give her that relevant portfolio experience.”

Though she found the course demanding, Lucy developed her time management and problem-solving skills alongside her knowledge, completing the AAT Level 4 apprenticeship at the end of 2023. “It’s been rewarding to see my progress in the workplace as well as achieving the qualification,” she says. Being the only finance apprentice at Penrith, she has benefited from having colleagues of a similar age in other areas of the business, as well as meeting fellow trainees from other local firms at college. Progressing on to the ACA was a natural next step, especially with the AAT-ACA Fast Track route offering credits for up to five of the Certificate Level exams. “Becoming a chartered accountant has been a long-term goal of mine since starting work at Penrith,” Lucy says. “The qualification is well-respected, and will help me develop my knowledge and confidence, as well as open lots of doors for me in the future.”

Elspeth believes the ACA will give Lucy the broad foundation of knowledge and strategic thinking skills that will make a difference to Penrith – and to her prospects there. “For me, the ACA didn’t just pigeonhole me to one area, it gave me a real wide business understanding. And I think that’s where Lucy will gain skills,” she explains. “It talks you through that end-to-end process and how that fits into the business structure, but it also looks at the strategic side of things, as well as picking up topics like ethics, diversity and inclusion, and ESG.”

As she did with AAT, Elspeth plans to give Lucy projects that mirror what she’s learning in the classroom. And where there are areas where Penrith can’t provide the relevant experience, such as tax, she will aim to second her to a local accountancy firm. More than anything, she says, Lucy will gain confidence and raise her profile in the business from completing the ACA. “The qualification will give her not just the financial skills, but the confidence to be a leader in the business. My expectation is that she won’t just be a doer on projects; she will be somebody that I start to give a project to and expect her to lead on it. I can only see her confidence improving as she progresses through the qualification, which is good for her and good for us.”

For Elspeth, the additional requirements of the Level 7 apprenticeship – which include on-programme and end-point assessments alongside the ACA – are well worth the payback for Penrith. “We already work on an appraisal system, so it’s an extension to that in many ways for us,” she explains. “It’s more important for me to be able to give Lucy the right experience to supplement her study. A few extra hours of my time to put together what I need to in terms of demonstrating that for the apprenticeship is not difficult, and I think it’s good discipline.”

She hopes to take on more apprentices over the next few years, bringing fresh ideas and enthusiasm into the business. And, while she hopes that local young people like Lucy will go on to enjoy long and successful careers with the building society, she is equally happy to be a stepping stone to opportunities elsewhere. “The ACA gave me the opportunity to travel the world, and I’ve always said to Lucy that if you have something like this in your armoury, you can do whatever you want,” she says. “If that’s Penrith, that’s great. And if it’s not, then take what you’ve learned here and spread your wings.”