The Oldham Credit Union's school uniform loan scheme has so far helped more than 500 families across the town.

Since July 1, the scheme has provided loans of up to £200 to families on affordable finance, with over £110,636 in total support distributed. The programme will continue until August 31.

Research by the Children's Society indicates 54 per cent of low-income families in the UK struggle to pay for school uniforms. A Department for Education survey found the average cost of primary school uniforms is £343.28, rising to £454.31 for secondary schools.

These costs mean children from low-income families are more than twice as likely to be sent home than other children if they do not have the full uniform.

"I came in to the Credit Union with the clear mission to find the crunch points for people in the town, and to provide them with better options to make them affordable," said its chief executive Lyndsey Gilkes. "I am delighted that we have been able to support so many families at a critical time in the year."

The Credit Union also offers other affordable finance options, including low-cost bus and tram tickets, family loans, and payroll savings schemes. Chair and Councillor Sam Al-Hamdani described the Credit Union as a lifeline for people in the borough.

In response to rising costs, the government's Children's Wellbeing in Schools Bill will limit English schools to three branded items from September, allowing families to buy more items from general retailers or second-hand shops.