Sales of ethical funds are at the highest level since the start of the credit crunch, according to new figures published this week.

Statistics from the Investment Management Association (IMA) show total ethical investments of £98 million for the second quarter of 2010, an increased of £106 million compared to the -£8 million recorded for the second quarter of 2009.

Ethical finance body UK Sustainable Investment and Finance (UKSIF) attributed the rise in ethical fund sales to diminishing trust in traditional banks.

“As the economy continues to stutter, consumers are increasingly aware of the impact of their investments and the opportunity for their finance and investment decisions to have a positive long term impact,” said Adam Ognall, UKSIF deputy chief executive.

“It is a very positive sign that increasing numbers of investors want to make money and make a difference.

“Modern green and ethical investment is now an attractive choice for mainstream investors.”

The FSA has approved a proposed merger between Coventry Building Society and Stroud & Swindon Building Society.

Under the merger the two financial providers will come together from the start of September.

The newly formed organisation will be called Coventry Building Society, and will be based in the Midlands.

The merger was first announced in June after it received the backing of Stroud & Swindon members.

Nine in ten members voted in support of the merger.

David Stewart, Coventry chief executive, said: “I believe that the merger with Stroud & Swindon Building Society will help us build on recent successes and bring the benefits of our prudent and member-focussed approach to a wider membership.”

New Zealand’s government has been criticised for voting down a bill that would have seen state money invested ethically.

New Zealand MP’s voted 63 votes to 58 against the Ethical Investment Bill, which would have required Crown Financial Institutes to invest their money ethically.

Robert Howell, chief executive of New Zealand’s Council for Socially Responsible Investment, said the vote against the bill was “short sighted”.

“The Government has unfortunately missed the opportunity to require a more robust business approach for the Crown Financial Institutions,” Howell said.

He added that the bill would have removed the hypocrisy from the government’s current stance on ethical investment.

Howell said: “In New Zealand we recognise that there are social and environmental boundaries that the market cannot determine, and which are provided by legislation.

“Investment, for example, cannot be used to severely damage the environment, or for companies that use child labour.

“As New Zealanders we accept this here, but the criteria for the CFIs does not restrict that type of investment overseas.

“It is not OK to pollute here in New Zealand, but it is OK overseas.

“The Bill would have removed that contradiction.”

Leeds Building Society has launched a new instant access account paying interest at 2.55%.

The headline rate includes a 0.5% bonus until August 2011.

The account, known as the London Instant Access Account, is only available through the building society’s London branch.

Savers can open the account with a minimum investment of £100, and are not required to open any other accounts with Leeds.

“Our exclusive London instant access account is a simple and straightforward account with a great rate of 2.55% and 100% access,” said Kim Rebecchi, Leeds director of sales and marketing.

“Unlike many of the products in the market there are no catches and no requirements to open any linked accounts.”

A new social enterprise to help people with autism find jobs has launched in Scotland.

Specialisterne Scotland is set to recruit a dozen trainees with autism over the next six months.

Those chosen for the programme will undertake four months training before being given jobs as software testers for major Scottish companies.

These are jobs with a high degree of predictability and minimal stress, making them ideal for people with autism.

Currently, only 13% of autistic Scots are in full time employment.

Specialisterne aims to find employment for 50 people with autism by 2015.

The company found its inspiration from a Danish project set up by Thorkil Sonne in 2004 after his son Lars was diagnosed with autism.

Sonne said: “Lars has been my inspiration. We didn’t know anything about autism and thought we should have some advice about how to support his development.

“Instead of getting some good advice, we were told we have a disabled son.

“We were told, ‘Whatever plans you have made for your son’s future, throw them away.’

“Actually, it is not him who is the problem, it is society which is the problem.

“He is caring, sweet, clever, charming. He would be a wonderful employee.”

Smaller building societies are often able to offer better interest rates on current accounts than big banks, a financial expert has claimed.

Phil Perry, director of Ark Financial Planning, said smaller, regional lenders such as mutual societies can offer savers higher rates of interest because they have members rather than shareholders.

“If the members are looking for something a little bit more special, they will want to be able to obtain better deals and arrangements,” he said.

However, he warned savers to be wary of headline grabbing offers which may quickly disappear after an account is opened because smaller institutions can’t afford to keep offers open for as long as bigger banks.

“In a way it is just like letting you know they are still there and still competitive,” he said.

“They don’t have the same outlay as some of the bigger boys.”

Eco-tycoon Dale Vince is poised to take over cash-strapped football club Forest Green, according to media speculation.

Vince, 48, built his £85 million empire on wind power, making him Britain’s wealthiest green entrepreneur.

He is understood to have met up with Forest Green’s executives, including chairman David Drew, operations director Colin Peake and manager Dave Hockaday to discuss a potential takeover.

The football club had planned to raise £250,000 by the end of June through a share issue, but failed to meet its investment target.

Forest Green declined to comment on the reports.

The study by AXA insurance found 800 lives are lost every year through road accidents caused by angry drivers.

More than one in three (35%) serious road accidents involve at least one angry driver.

AXA estimates the monetary cost of road rage at £945 million per year, or £35 per insurance policy.

“We are very concerned that a continued lack of respect on the road will drive up premiums further,” said Craig Staniland, AXA insurance director for motor.

Government plans to review the welfare system with a view to simplifying benefits have been given a guarded welcome by the Citizens Advice Bureau (CAB).

The CAB said simplifying the system will help more people claim the benefits they are entitled to.

However, it warned that the reforms must continue to provide support for the poor and vulnerable.

Teresa Perchard, CAB director of public policy, said in 2009 the CAB had to deal with more than 2 million problems related to benefits and tax credits.

“Complex rules result in overly long and complex forms and systems, with applicants in need of help from the welfare system passed from pillar to post,” Perchard said.

She said if proposed changes get the go ahead it could “transform the culture of our welfare system”.

“We especially welcome proposals which could allow much greater flexibility for individuals to work a small number of hours a week without losing benefits and to keep more of what they earn and save.”

However, she warned that even with reforms, the welfare system must continue to help people living in poverty.

“It is vital that citizens who need financial support from the state at any time in their lives are treated with respect and dignity and are appropriately supported,” Perchard said.

“A welfare system that does not turn the tide on poverty is embedding inequality in our society.”

Research by Aviva found nearly seven in ten (68%) of over-55s would like to continue working when they reach 65.

Last week the coalition government said from October 2011 employers will no longer be allowed to force employees into retirement at the age of 65.

The plans are currently under consultation, but are expected to get the go ahead.

Announcing the plans, pensions minister Steve Webb said: “Many older people want to work after age 65 and have a wealth of skills and experience that are not being used.

“We want to get rid of the default retirement age so that if they want to work they can do so.”

Darren Dicks, head of retirement at Aviva, said the government’s announcement is a positive decision for older workers.

He said: “The government’s plan to abolish the default retirement age from October 2011 is great news for the 68 per cent of over 55s who want to work past the current standard retirement age.

“And, it is even better news for the five per cent who believe that they will be forced to leave their current roles when they reach the official retirement age.”