Charities remain locked out of CAF Bank online accounts

A week after imposing a suspension on online banking, CAF Bank continues to provide no timeline for reinstating access to its 14,000 UK charity clients, leaving payments to staff and suppliers disrupted. The issue, which initially emerged this week, remains unresolved, with the bank attributing the outage to an undetected vulnerability in the connection between its systems and third-party software.

CAF Bank's CEO, Alison Taylor, acknowledged the disruption, expressing regret for the impact on customers and emphasizing the urgency to resolve the issue safely. However, no concrete timeline has been provided for the restoration of online banking services. The aftermath of the outage has been particularly severe for charities, with organizations such as 21 Together, a charity for Down's syndrome, reporting concerns over unpaid wages and mounting stress.

Bali Rodgers, CEO of Safer Communities Alliance, noted the erosion of trust in CAF Bank among grassroots organizations it supports. The bank's history of similar technical failures, including in 2023, further complicates the situation. Despite holding £1.45 billion in customer deposits, CAF Bank has yet to disclose the financial costs associated with the recent system overhaul.