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How can the government better support social enterprises?
Two new reports launched today set out recommendations for reforming NHS commissioning and public procurement to better support social enterprises, with Lord Victor Adebowale arguing the choice is “what kind of country we want to become.
This morning, Social Enterprise UK launched two reports at the House of Lords containing recommendations for how the government can further support social enterprises to create fairer, more resilient, and healthier communities.
The British Government committed to using its supply chain to create social value back in 2012 with the Social Value Act. It then doubled down on that commitment in 2025, with the National Procurement Policy Statement stating that social enterprises “are more likely to generate diverse and thriving local economies, creating jobs and economic growth” and asking commissioners to maximise spending with them.
The legislation was an important step. But years after they’re first implemented, systems need updating to remain fit for purpose. By tackling issues such as too many short-term contracts, risk averse local government commissioners and lengthy, repetitive bidding processes, the potential of social enterprises – and the communities they work in – can be fully unleashed by the government.
And it’s the same in the NHS. 1,200 social enterprises deliver billions of pounds worth of vital NHS care across the country, employ tens of thousands of staff, and play a central role in community health, mental health and social care.
They got on with delivering the objectives of the recent NHS 10 Year Plan (from hospital to community; from sickness to prevention) for many years before it became policy. Yet social enterprises remain disadvantaged compared to other NHS service providers.
The All-Party Parliamentary Group of the Social Cooperative and Community Economy has been conducting a series of inquiries looking at the contribution to public services that social enterprises make, with many leaders attending meetings to provide that evidence. Mark Simms, CEO of P3, which works to prevent homelessness and support individuals with complex needs, was one of those who did so. As he put it at the launch of the reports today, “We have become very good at managing the consequences of social failure and far less ambitious about solving the causes.”
‘Accelerating NHS reform: levelling the playing field to unlock social enterprises’ looks at the disadvantages that social enterprises encounter in delivering health and social care services. The report contains a number of recommendations for the Department of Health and Social Care (DHSC) that doesn’t require new legislation – but does ask for parity when it comes to access to funding, capital and resources.
‘A £400bn opportunity: unlocking social value for a fairer, more resilient UK’ is introduced by Patrick Hurley MP, Chair of the All-Party Parliamentary Group of the Social Cooperative and Community Economy. It focuses on changes to procurement that could help the government achieve the kind of ‘good growth’ that raises living standards and reduces inequality.
“This is bigger than social enterprise,” said Lord Victor Adebowale, Chair of Social Enterprise UK at the launch of the reports.
“It is about what kind of country we want to become. A country that extracts value, or a country that creates value. A country that waits for problems to become crises, or a country that invests in prevention and people. A country that concentrates wealth and opportunity – or one that shares both more widely.
“Social enterprises have spent decades proving what works. The evidence, innovation and leadership is there; the communities are ready. The only question that remains is whether policy and politics can catch up with practice.”
Thank you to our partners Access – the Foundation for Social Investment, Better Society Capital, Baxendale, Fusion 21, GLL and Locala for their support in producing these reports.
Some images from the launch of the two reports at the House of Lords on 17 June 2026
