PLY: Cheering news on the growth of social enterprise from the UK…apologies for brevity in the middle of my presentations at Young Markets, including, of course discussion of Social Impact Bonds…
Social Enterprise Is Outperforming The Wider Economy, SEUK Report Finds
Emily Corfe – Civil Society
Social enterprises are outperforming the wider economy in almost every area of business, according to research by Social Enterprise UK.
The State of Social Enterprise report, launched by Rob Wilson, minister for civil society, says that social enterprises have higher start-up rates, grow faster, and create more jobs than standard businesses.
The research finds that 35% of social enterprises were established in the last three years – almost three times the proportion of new SMEs.
Peter Holbrook, CEO of Social Enterprise UK, said the findings show that “social enterprises are providing real answers to the significant social and environmental problems we all face” during “a time of public sector austerity and globally networked markets”.
“They are demonstrating that it is possible to do business differently: creating economic growth and jobs whilst also operating fairly and helping those people and communities most in need,” he said.
Cameron pledges more social impact bonds
Last week prime minister David Cameron pledged to scale up the use of social impact bonds in homelessness, mental health and child care charities.
At a speech about localism and central government efficiency on Friday he said social impact bonds were “big step forward” in the government’s use of interventions, paying for private and voluntary sector organisations while delivering savings for the taxpayer.
Cameron highlighted a social impact bond supporting the education charity ThinkForward. He said the project reduced the NEET rate in the London borough of Tower Hamlets by 88 per cent – saving the tax payer £40,000 per pupil.
“I want to take this much further by bringing models like this to scale,” he said. “Spending money smartly; saving money overall; improving people’s lives – this is what reform can do.”