Thought Leadership

As our new government maps out its “mission-based” approach, the Cabinet Office is looking at how public procurement could support this – and as part of our work to build markets for social enterprise, we’re seizing this opportunity to show political leaders the added value unlocked when we work in partnership. Procurement is one of the government’s most powerful economic tools, with public sector bodies spending over £400bn to deliver vital public services and critical infrastructure in the last year alone. Unfortunately, the current system is failing to achieve its full potential, as evidenced by our Social Value 2032 research. With a more effective strategy, these funds could help shape markets to improve business behaviours and social outcomes. We hope this new government consultation is the start of a journey to making public sector procurement more collaborative and innovative, so that it delivers greater value – and we know social enterprise can help accelerate progress here. Our business model naturally aligns to a mission-driven approach, putting people and planet before profit. However, system change is needed to really unleash the procurement power of social enterprise suppliers. Having given insight and advice directly to government as part of the consultation, we also wanted to publicly share the highlights of our response, as we continue to push for more engagement and understanding. A key point is making legislation work better. Our research found £56bn in added value has been lost since the Social Value Act came in, so this must be strengthened alongside updates to the National Procurement Policy Statement. It’s promising that guidance on the upcoming Procurement Act expresses a specific intention to benefit social enterprises, and we’ll share our sector insight with policymakers to ensure they understand our needs and expectations. Going further, commissioners must recognise the intrinsic value of organisations in their supply chain. Rather than narrow measurement processes that relegate social value to a tick-box exercise, commissioners should consider how suppliers in their supply chain might advance wider strategic goals. Ultimately, commissioners need the responsibility and guidance to play the role of market stewards; procurement spending should be recognised as investment, with commissioners obliged to consider how such funds can be used to deliver more for the communities they serve. This should also mean actively limiting opportunities for profit in certain areas. When vulnerable individuals are dependent on specific services like social care, there should be no opportunity to make profit at the expense of investing and providing the highest quality service. The government’s new plans to prevent profiteering in children's homes are a very welcome step in the right direction – but there are concerns about whether profit-driven businesses would make voluntary changes, and questions about how mandatory legislation would work in practice. Where possible, commissioners should look to reserve more contracts for suppliers that have adopted business models where surplus funds are used to invest in services, rather than enriching shareholders. Overall, more transparency is needed across the procurement system. Commissioners need to understand what colleagues across the public sector are doing and pursue best practice in line with their own goals. Similarly, they need to understand how suppliers are using their funds, so they can get an accurate sense of the costs needed to deliver vital services. Procurement can enhance public wellbeing and deliver shared prosperity – but it must be approached in a way that prioritises collaboration and transparency, with greater appreciation of what different organisations may bring to the table. This will allow commissioners to better embed suppliers whose practices, values and interests are aligned with the people and places they serve. Ultimately, this will not only improve services and outcomes but cultivate a more inclusive and dynamic economy. If you want to share your experiences of public sector procurement, and/or get involved with our Social Value 2032 work, contact policy@socialenterprise.uk.

Bloom is returning to Liverpool in 2025, ready to bring together leaders, doers and strategists from the creative and digital sectors. This one-day, future-focused event is designed as a hub for innovation, collaboration, and strategic development, where attendees can immerse themselves in a wealth of ideas and practical insights, forge new connections, and leave with inspiration to take part in real, progressive action. Last May, Bloom made its debut in Liverpool. The event featured: 20 influential speakers sharing their expertise. 15 support organisations offering guidance. 30 exhibitors showcasing their latest innovations. The day was packed with panel discussions, engaging talks, and one-on-one advice sessions, all geared towards ensuring digital and creative businesses are equipped for the future. Attendees not only benefited from expert insights but also enjoyed great food, live music, and ample opportunities to connect and grow their networks. In 2025, Bloom 2025 is thinking bigger. The event will have a focus on the theme of collaboration and will explore how we can make alliances and work together for the greater success of the creative and digital sectors.  Bloom 2025 will bring together businesses across‘ the north’ to connect and explore how those working in the creative and digital industries contribute to and drive the creative economy.  Following on from the success of Bloom 2024, there will be topics on how business leaders can future-proof their businesses and adapt to challenges, advice on how to cultivate the next generation of skilled professionals and the purpose of place; exploring the evolving nature of our cities and how creativity contributes to these shifts.  All of these topics will be weaved by the leading theme of Bloom 2025; collaboration. Bloom is an event for: Creatives, digital leaders, doers, and strategists looking to not only stay ahead of the curve, but help guide where the sectors are going.  Team members seeking expertise to future-proof their businesses. Networkers and collaborators ready to engage, connect, and build lasting partnerships. Bloom expands on your toolkit to ensure your business has the support it needs at every stage—whether launching, scaling, or building resilience. Bloom is a space to learn, share, and act, fostering a collaborative environment where ideas are planted, nurtured, and set to grow.  Mark your calendars and buy your tickets now on Eventbrite before the early bird discount comes to an end: https://Bloom2025.eventbrite.co.uk. /bluːm/ to grow or develop successfully

Today’s Budget marked a decisive shift to higher levels of public investment - welcome after more than a decade of austerity. This is particularly on capital spend, but social spending investment is also vital. So how can this additional spending can deliver a fairer, more sustainable and inclusive economy? Resource spending in health and social care is crucial. There have been numerous occasions in recent years when social enterprises delivering core NHS community services have been (and are still) unfairly excluded from government policies, programmes and funding. If the new government is serious about its manifesto commitments to prevention and community services, then it must recognise the essential role social enterprises already play in their delivery across the country every day. Many social enterprises will be concerned with some of today’s announcements. The rise in employer National Insurance Contributions (NICs) will particularly impact social enterprises that create jobs, often for those furthest from the labour market. While Employment Allowance has been increased, which will reduce pressures on smaller businesses, this still raises questions over whether this is the fairest way to distribute the increased tax burden. Social enterprises that provide vital public services may be particularly impacted by the Budget. The minimum wage will rise alongside NICs. While social enterprises are committed to paying a living wage and offering better working conditions, those reliant on public sector funding may struggle with these additional costs if they do not receive a fair funding settlement from the public sector bodies they work with. However, there are clear signs this is a Budget that recognises aspects of the contribution of social enterprises and other mission-led business models. Pledges to reform the taxation of Employee Ownership Trusts and deliver a strategy for growing the co-operative economy demonstrate that there will be more support for diverse, mission-led business models going forward. Social Enterprise UK will continue to work with members and partners to ensure the Government understands the needs and aspirations of social enterprise. We do need investment - but we also need businesses that create high-quality employment, invest in their communities, and offer innovative ownership models that share wealth. We hope that the Chancellor will use her additional spending power to create the conditions in which social enterprises, as businesses committed to more than just profit, can thrive.

On Tuesday, 15 October 2024, Tarem Services, a social enterprise dedicated to tackling in-work poverty and food insecurity, joined forces with leading UK construction company Wates Group to bring essential food support to families in Kilburn Square through their Mobile Foodbank initiative. Tarem Services has partnered with Wates as a member of their supply chain, employed by the group to provide cleaning services and labour supply in Brent and on several other of their London contracts. Wates are currently delivering a wide range of planned works at Kilburn Square on behalf of Brent Council. A total of 100 food bags were distributed, each containing enough food to feed at least two people, benefiting approximately 200 individuals. This distribution directly addresses immediate community needs and demonstrates the commitment of both Tarem Services and Wates to supporting local communities. This collaboration forms part of Tarem Services' broader mission to provide support where it is needed most. Managing Director Titus Komolafe expressed his gratitude for the partnership and the positive impact achieved: “At Tarem Services, tackling in-work poverty starts with addressing fundamental needs like food security. Our partnership with Wates reflects what can be achieved when businesses are driven by shared social values. Together, we are making a real difference in the lives of families here in Kilburn Square.” James Gregg, Regional Managing Director for Wates, said: “Improving the lives of residents and creating thriving communities is at the core of our business. Partnering with social enterprises like Tarem to deliver initiatives like this allows us to support the local community in becoming stronger and more resilient. " Building Stronger Communities This initiative demonstrates how corporate and social enterprise partnerships can drive positive change and foster resilient communities. By collaborating with organisations like Wates, Tarem Services not only delivers high-quality services but also creates social value that uplifts the community. To learn more about Tarem Services’ Mobile Foodbank and discover how you can support our community initiatives, visit: taremservices.com/foodbank About Tarem Services Tarem Services Limited is a social enterprise focused on tackling in-work poverty and food insecurity, especially among cleaners in the UK. Founded in 1999 with the support of a Prince’s Trust grant, Tarem Services has built a reputation for responsible business practices. The company provides office and school cleaning, construction labour supply, pest control, and waste management services, all while remaining committed to social responsibility and environmental sustainability. About Wates Group Established in 1897, we are the UK’s leading family-owned development, building and property maintenance company. In 2022 we employed over 4,000 people and generated profits of £33.7m from a turnover of £1.89bn, working with a wide range of public and private sector customers and partners. Now in our fourth generation of family ownership, we’re committed to the long-term sustainability of the built environment and to making our industry more inclusive and representative of the communities we work in. We are one of The Times Top 50 Employers for Gender Equality and an Investors in People Gold accredited company. We are driven by our shared purpose of working together to inspire better ways of creating the places, communities, and businesses of tomorrow. wates.co.uk

By Andrew O'Brien, Director of Policy and Impact at Demos “I am determined to do everything in my power to galvanise growth; determined for this country to be the highest growing economy in the G7 - that is our most important national mission.” These were the words of the UK Prime Minister, Sir Keir Starmer, at the Global Investment Summit earlier this month. It is no secret that the entire government’s political agenda depends on boosting growth.  But while Britain is desperate for growth after nearly two decades of stagnation, it needs to be a particular type of growth. Whether you call it good growth, inclusive growth or sustainable growth, we need growth that meaningfully improves the standard of living for working people. Our economy needs to grow not just by financial measures but in terms of social value – its contribution to local communities, its impact on individual wellbeing, its effect on the world around us. Take one issue: wages. Since the late 1970s, real wage growth significantly slowed down, from a healthy 5.5% per year to 4.4% in the 1980s right down to 1.6% in the 1990s. Despite the ‘Great Moderation’, it only ticked up slightly to 1.7% per year at the turn of the century, before the financial crisis led to wage stagnation and a permanent cost of living crisis. Growth also slowed in this period, but not as dramatically as wages. Median growth rates per decade fell by 24% from the 1970s to the 2000s, while wage growth rates fell by 70% in the same period. We made the wrong economic choices. We allowed highly productive, skilled industries to be replaced with lower productivity and insecure work. We oversaw an ‘extreme form of capitalism’ unique to the UK, where the ‘proceeds of growth’ went to a narrow group, both economically (the richest) and geographically (London and the South East). To be fair to the new government, they understand that they cannot just allow ‘growth’ to emerge organically; it needs to be directed. Their new Industrial Strategy says that “the government is committed to using the power of the state strategically to support and shape the UK’s economy and future growth”. Unfortunately, the UK has eroded state capacity over the past 40 years, and lacks the experience in steering markets needed to deliver good growth now. The new government’s position is akin to trying to win a Formula One race in a car that you’re building as you drive it. But there are tools available to help the new government drive inclusive growth – such as procurement, which it’s encouraging to see referenced in the new Industrial Strategy. The public sector is spending close to £400bn every year: 17% of UK GDP, and 14 times more money than the promised National Wealth Fund, reaching every part of our economy. There’s even more at stake in the private sector, where our largest businesses are spending billions on procurement every year. This presents an enormous opportunity to steer growth in the right direction, building a stronger but also fairer and more sustainable economy. If we can make better procurement decisions - spreading investment into social enterprises and SMEs across our regions, backing innovative new processes and technologies, and creating the conditions for long term planning and productivity gains - we can truly achieve good growth. This kind of focus on social value broadens decision making from short-term financial costs to factor in wider impacts, enabling the government to use procurement as a strategic lever for economic renewal. Central government‘s leadership role is critical; our whole economy is shaped by the standards they set, the organisations they buy goods and services from, and their appetite for risk. No other actor has the strategic capability to shape procurement, and unlock the full potential of social value, in the way that central government can. Early signs are encouraging. A review of the National Procurement Policy Statement is underway, including positive references to social value. Labour mayors are supporting ‘the social economy’ in London and Bristol, the VCSE sector in Greater Manchester and ‘business for good’ in West Yorkshire. The Procurement Act is due to take effect early next year, with an explicit government commitment in the new Industrial Strategy to using the legal framework it creates to deliver greater social value. However, social value must be a key tool for a mission-led government and a core part of their industrial strategy, not an afterthought. We need to create a national strategy for identifying the most socially valuable economic opportunities, encouraging their development, and rewarding businesses such as social enterprises that align to our shared priorities. The Social Value Act could be transformative, but there is much more that needs to be done, as outlined in our recent Demos paper ‘Taming the Wild West’. The government have limited economic levers they can pull to achieve good growth, and social value has a critical role to play in achieving their promised “decade of national renewal”. There is no time to lose.

Beth Vecchione, founder of the social enterprise Care to Dance, is running an ultramarathon just over 6 months after a car accident left her with a broken back to raise money for the care-experienced young people the organisation supports. Young people’s mental health is at an all-time low, exclusions at an all-time high and services unable to keep up with demand. For the 15th year in a row, the number of children in care has continued to rise; in March 2023, there were over 80,000 children in the system. Most of these children and young people will have experienced instability and trauma, and will be living with the effects of this, and finding creative ways to support them is crucially needed. So, to raise money for Care to Dance and the young people it supports, Beth set herself the challenge of not just recovering, but running an ultramarathon before the end of the year. Care to Dance uses dance to support care-experience young people - to help them feel a sense of belonging and freedom, but also to process what they’ve been through. By building inclusive communities where young people feel safe, are among people they trust and can express themselves freely, it aims to provide the stability and consistency they likely missed growing up and help them develop relationships built on trust so they have people to turn to. Beth, CEO and founder of Care to Dance, says “Breaking my back really brought home for me how hard it must to be to go through dark times alone without anyone to turn to or support networks to rely on. This is often the case for care-experienced young people. I’ve seen the transformational impact the Care to Dance community has for them, the improved mental well-being, motivation and self-belief. I want to show all our young people just how much is possible if you put your mind to it, what you can overcome with mental strength and determination, and people backing you. I want to support as many young people across the country as possible, especially at a time when so many young people are struggling.” Lucy, a young person who attends Care to Dance, says “Life was a struggle until I came to Care to Dance. I started to express myself and trust the staff. Learning new skills and being part of a team made me a brighter person. Care to Dance supported me at my worst, and inspired me to be my best. It made me a better human.” You can find out more about Care to Dance on their website, and support Beth’s fundraising efforts via her Just Giving page. Beth can be contacted directly at beth@caretodance.co.uk.

Over two weekends this November, Winter Open Studios returns to Cockpit for a festive celebration ofcreativity and making (21–24 November and 29 November–1 December). At this unique shopping event, you’ll discover the work of leading craftspeople and up-and-coming makers, all created in their studios at Cockpit in Bloomsbury and Deptford, with price points to suit every budget. Cockpit, an award-winning social enterprise and the last remaining specialist craft studios in London, has launched the careers of some of the biggest names in contemporary craft. Their studios are currently home to over 175 talented artist-makers working in more than 20 craft disciplines, from fine jewellery to ceramics to woodworking, fashion and textiles, antiques restoration and more. Open Studios is a unique opportunity to go behind the scenes and have face-to-face conversations with makers to learn the stories behind each original piece and discover how these remarkable objects are made. This is your chance to shop direct from exceptional craftspeople and invest in unique pieces, with all of your holiday gifting supporting makers and independent businesses. Discover an extraordinary world of creativity, made at Cockpit. Highlights for winter include: Discover exceptional objects and ‘Open Studios exclusive’ work from the UK’s leading makers and be the first to meet the stars of the future Enjoy a truly unique shopping experience and purchase one-of-a-kind gifts directly from leadingartist-makers and Cockpit alumni (view our Gifting Press Release for details) Uncover a hidden cultural gem where up-and-coming makers work alongside established leadersin their field Explore Cockpit’s stylish new development in Deptford, which includes a brand-new café, publicart installation and London’s only Craft Garden Tickets start from £5, with discounts are available for advance bookings, concessions and local residents. All ticket sales support Cockpit’s work as a registered charity. Cockpit Bloomsbury – 21–24 November 2024 Opening Hours: Thursday 21 November, 12-8 pm – VIP & Press Preview (Drinks reception from 5 pm) Friday 22 November–Sunday 24 November, 12-6 pm – General admission Cockpit Deptford – 29 November–1 December Opening Hours: Friday 29 November, 12-4 pm – VIP & Press Preview Friday 29 November, 4-8 pm – General admission Saturday 30 November–Sunday 1 December, 12-6 pm – General admission Tickets: Open Access Pass (multiple entries including VIP Preview) – limited quantities available:o Bloomsbury pass (4 days): £30o Deptford pass (3 days): £25o Bloomsbury & Deptford pass (all days): £35 General admission: £10 advance (£12 on the door) Concessions (Seniors 65+, students, unwaged, disabled (carer ticket is free)): £8 advance (£10on the door) Children (16 and under): FREE Local Residents – Camden (Bloomsbury) and Lewisham (Deptford) (on the door only): Half pricewith proof of address (£6) Friday late in Deptford: £5 advance (£6 on the door) About Cockpit Cockpit is a centre of excellence in contemporary craft and one of the top 100 UK social enterprises on the NatWest Pioneers Post SE100 Index for over a decade. For more than 30 years, Cockpit has nurtured and supported craftspeople at the fragile, early stages of their careers. The UK’s only incubator for craft businesses, Cockpit is home to a community of over 170 independent creative businesses – metalsmiths, jewellers, weavers, woodturners and ceramicists – at two London locations. Thanks to funded studio space and in-house business coaching, Cockpit makers thrive, with many going on to become international leaders in their fields. Bridging the gap between talent and opportunity, Cockpit’s education and careers programmes open pathways into creative employment for young Londoners from all backgrounds. Cockpit received the Prove It: Social Impact Award at the 2023 UK Social Enterprise Awards. cockpitstudios.org @cockpitstudios

Public bodies are being urged to use their purchasing power to tackle poverty and inequality within local communities and create a good jobs industry in the UK in a new report ‘Public Good Procurement’ issued on behalf of the grassroots #BetterForUs campaign run by award-winning community enterprise, Aspire Community Works. Drawing on its own lived experience of the procurement process, the report argues that all too often public procurement pushes wages down, fails to address deep-rooted inequalities and puts pressure on the public purse through subsidising low paying employers who offer bad work detrimental to people’s health. This puts good employers who pay the Real Living Wage at a disadvantage within the procurement process, leading to a spiral of downward wages within the procurement process and negative public value. The report urges the UK Government to take the lead in delivering maximum public value across the country through raising the standards in how public authorities spend £390 billion every year as part of its national missions to promote growth and opportunity.  The report calls on the UK Government to: require the Real Living Wage as the default position for all public contracts irrespective of value, lifting thousands of people out of poverty; require good working conditions as the default position for all public contracts irrespective of value providing high quality and sustainable opportunities for people working on public contracts; particularly for those in traditionally low paying occupations; introduce a target to support Good Works organisations that work with people who are disadvantaged by the labour market to promote a more inclusive economy and bring more people back into the workforce; highlight the mission of public good procurement and links key objectives to the Sustainable Development Goals within its forthcoming National Procurement Policy Statement. Dr Katharine Sutton, author of the report said: “This is a once in a life-time opportunity for a new Government to stamp its authority on a new Procurement Act due to be introduced in February 2025. If only one percent of the procurement spend in the UK was reserved for positive action employment programmes this would generate £3.9 billion for local communities and Good Work organisations that aim to support and sustain people into and in employment. These programmes could take place within in-house delivery, under the auspices of private contractor or run by social enterprises themselves. Using public procurement to set the standards and act as an example for all employers is an economic imperative that will deliver inclusive growth that makes a real difference to people’s lives.” The report includes recommendations to other public bodies and practical guidance on how public procurement can be used for the public good. betterforus.org.uk Notes BetterForUs 2020-2024 is a campaign run on behalf of award-winning organisation Aspire Community Works that tackles labour market disadvantage through providing sustainable employment and training opportunities offering the Real Living Wage as a minimum,  good working conditions and promoting frontline employees’ voice in the design and delivery of services. The majority of its frontline work is obtained through the public procurement process. The Government has recently announced that the Procurement Act 2023 will come into force in February 2025. It has delayed its implementation to draw up a new National Procurement Policy Statement and is currently consulting on this issue. In the UK procurement is devolved  and the report outlines the differences in approach within the UK. It is calling on the UK Government to incorporate the Sustainable Development Goals as the golden thread to run through all procurement in the UK. BetterforUs is supported by Trust for London.