53 blog articles for ‘state of the sector’

Over the last decade the social care sector in England has seen unprecedented demand coupled with funding cuts and workforce recruitment and retention challenges. The Covid-19 pandemic added more pressure to already stretched social care systems. Recent research at the University of Birmingham has been exploring the contribution of social enterprises to the adult social care sector. As part of this research, we analysed data from the 2019 and 2021 ‘State of Social Enterprise’ survey focusing only on social enterprises delivering social care services (‘care social enterprises’). We looked at any changes in the sector immediately before and after the pandemic. Overall, the survey suggests that the care social enterprise sector responded positively to the challenges of Covid-19. Between 2019 and 2021, most care social enterprises not only survived, but we found generally positive indications of growth and reports of diversification and innovation. Whilst the pandemic created challenges for the sector, including financial difficulties – with 32% of care social enterprises reporting that they drew on their financial reserves and 20% having increased borrowing in response to the pandemic - most (68%) did not pass any financial burden on to their service users. Many care social enterprises surveyed reported that their annual income had increased; with almost twice as many organisations reporting an annual income exceeding £1m in 2021 than had done in 2019, although the actual proportion reporting income exceeding £1m was relatively small (just under 20% in 2019), with medium income of £100,000. More care social enterprises also reported making a profit in 2021 (56%) compared to 2019 (44%). An overwhelming 81% of care social enterprises surveyed reported that they changed their processes and/or ways of thinking in response to the pandemic. As well as adapting in response to Covid-19, care social enterprises were found generally to be dynamic; in 2021, 48% reported that they had expanded into new markets and 62% had developed new products. Many also reported that they had expanded the reach of their services, with over three quarters (78%) operating across more than one local authority area in 2021 (compared with 59% in 2019). Similarly, the number of employees in care social enterprises increased between 2019 and 2021 from a median of five to twelve employees, and more than two-thirds (68%) expected their staff number to growth further. Whilst the number of staff grew, staffing was affected by the pandemic with 42% of care social enterprises reporting furloughing staff, 44% asked staff to take on additional roles, and over half provided or switched to remote working.  The most common objective of care social enterprises was reported as ‘supporting vulnerable people’ and one notable trend over the last two years has been the prioritisation of adult mental health and wellbeing. Whilst this is reflected in the entire social enterprise sector [1], with nearly a third of the sector prioritising adult mental health and wellbeing as a main objective, a more dramatic shift is visible in care social enterprises with adult mental health listed as a priority objective by 27% in 2019, and more than doubling to 59% in 2021.  This is congruent with increasing demand on NHS mental health services post COVID19 [2] and supports the notion of adaptability and resilience in recent years in the care social enterprise sector. Care social enterprises therefore appear to have responded well to the COVID-19 pandemic. They are widely recognised as driving innovation and as having real expertise around their communities. These qualities may make them well placed to fill some of the gaps in statutory care and support, and in turn gain recognition as integral stakeholders in health and care systems [3]. In recent years care social enterprises have therefore proven their ability to adapt and innovate in response to changing demands and challenges.  Furthermore, they have continued to grow and remain profitable in the face of crisis. By Kelly Hall, Kelly Hayward and Phil Kinghorn, University of Birmingham  [1] SEUK (2021) No going back- state of social enterprise survey 2021, https://www.socialenterprise.org.uk/seuk-report/no-going-back-state-of-social-enterprise-survey-2021/ [2] NHS Confederation (2021) Increase in demand for mental health support is being felt across the system, 25 October 2021, https://www.nhsconfed.org/articles/increase-demand-mental-health-support-being-felt-across-system [3] ADASS (2020) The voluntary and community sector in a world shaped by Covid https://www.adass.org.uk/next-steps-for-the-vcs-the-voluntary-and-community-sector-in-a-world-shaped-by-covid

The Chancellor is in an almost impossible position, faced with high government debt, low growth, unprecedented pressures on public services at home, and conflict and trade wars abroad. In response, Rachel Reeves’s spring statement announced cuts to the welfare budget, increases in defence, and reductions to overseas aid. For many, this will all feel pretty depressing. Yet real hope lies in every community across the country. As Neal Lawson of Compass puts it, “one critical area to boost is the alternative economy, of co-ops, social enterprises, employee-owned workplaces…  Not only can these organisations help kick start economic renewal, but they can do so in a way that is fairer and more democratic.” We welcome the Government recently committing £10m to community energy, and £20m to co-operative housing. But these relatively small drops won’t double the size of the co-operative and mutual sector, as Labour’s manifesto promises. You can’t grow diverse businesses by investing less with one hand than you are taking away with the other. National Insurance rises for public service providers - without either shareholders or customers to absorb the costs - are undermining viable, mission-led alternatives to the outrageous profiteering and negligence we see in the water industry, in children's care and beyond. Social enterprises, co-operatives and community business are delivering real prosperity that people can feel on their high streets, in their neighbourhoods, and in their pockets. This is where hope lies.

Social Enterprise UK welcomes the publication of the government’s National Procurement Policy Statement (NPPS), which recognises the power of public procurement, and how social enterprises “are more likely to generate diverse and thriving local economies, creating jobs and economic growth".  The new Procurement Act, launching on 24 February, will mean the biggest change to public procurement in a generation. It is particularly pleasing to see the NPPS recognise the value of voluntary, community and social enterprises (VCSEs). The number one requirement for economic growth in the NPPS is to "maximise procurement spend with small and medium-sized enterprises (SMEs) and VCSEs".   As the national voice for social enterprise, we have long been building the evidence and making the case for procuring goods and services from businesses with a social and environmental purpose. The Future Economy Alliance, led by us, called for public sector procurement to give greater consideration to purpose, use of profits, paying taxes and employment practices. The NPPS does just that.  We also welcome the government’s commitment to mandatory targets for spending with voluntary, community and social enterprises from April 2026, something we've long called for.   However, we note that this applies to direct spending only. Given that nearly 50% of government spending with SMEs is indirect, we hope the government will consider applying these targets to all procurement (direct and indirect) in future. From our work on the Buy Social Corporate Challenge, we know that there is a genuine appetite from large business to work with VCSEs in their supply chains.  We would like to thank Claire Dove CBE DL for her work as VCSE Crown Representative driving public procurement to create social value, and to Georgia Gould and the Cabinet Office team for their leadership.   Our organisation has worked with 12 central government departments in the past three years to benchmark their VCSE spending. We look forward to supporting more departments and agencies in the future to achieve fairer and more sustainable use of taxpayers’ money that delivers the greatest economic and social value.  

The State of Social Enterprise (SOSE) survey, which runs every two years, is live! We’re inviting all UK social enterprises to take part. We know social enterprises across coops, community businesses, start-ups and more get surveyed a lot. So, why should you give up your time for it?  1. Drive policy change SOSE data helps drive policy change for social enterprise. For example, it informed public policy which led to the creation of Big Society Capital and Access – the Foundation for Social Investment, contributing to a social impact investment market of over £6.4bn. It supported Social Value legislation and underpinned calls for sector support during COVID. 2. Shape a powerful narrative Did you know that social enterprises generate £60bn GDP and 2 million jobs? That’s SOSE data. And we want to update it this year.  3. Contribute to the UK’s largest dataset for social enterprise Central government comes to us for this data. Social investors, national sector bodies, local and combined authorities – they all access this data to inform policy and practice. SOSE data is central to analysis such as the Adebowale Commission on Social Investment.               4. Build understanding SOSE data is used by researchers and academics to better understand many areas of social enterprise, from rural ecosystems for social enterprise, to improving routes to market, the data is core to research across sectors, regions and impact areas.  5. Data for your social enterprise SOSE provides a benchmark for social enterprises to better understand their own performance and learn from others. For the first time in 2023, SEUK members will receive benchmarked results from their survey data in the pilot run of our Better Business Benchmark tool.  We’ve simplified the survey this year. If you took part in 2021, you won’t be asked all questions as we’ll use data you’ve already provided.   You’ll need info on your financial turnover, profits and staff demographics to hand – as well as an overview of how you generate income. The survey shouldn’t take more than twenty minutes.   If you do one survey this year, please make it this one. How to take part   All SEUK members and social enterprise contacts will be contacted by respected research company BMG research – look out for an email from them. Not heard from BMG yet? Please drop BMG a line to confirm your interest – you can request a telephone call back, or to do the survey online: socialenterprisesurvey@bmgresearch.com Social enterprises which are not SEUK members are also encouraged to take the survey – email socialenterprisesurvey@bmgresearch.com to express your interest in taking part. “Evidence matters – and the state of the sector surveys helps us all to get a better understanding of the pressures facing social enterprises, be that frontline staff, policy makers or funders. It helps to connect the dots and create the evidence base we need to spot trends, challenges and opportunities and provide the support social enterprises need.” - Lydia Levy, Head of Impact and Evaluation - Access -The Foundation for Social Investment. “There has been a lot of progress in supporting social enterprises to access the investment they need to create and sustain impact but we know there is still so much more to do. The SEUK SOSE survey gives us vital data on where barriers still exist in equality of access to finance, where products need to be improved and a better understanding of the current and future demand for capital. Simply put - what is working well and what is not. SOSE is a key tool in helping us to understand how our money can best be put to work.” - Melanie Mills, Head of Social Sector Engagement, Big Society Capital “The State of Social Enterprise (SOSE) is the best and most consistent source of in-depth data on social enterprises. At Social Investment Business, we believe passionately about supporting social enterprises with the right finance and support to build a fairer society. We believe equally passionately in the role of high-quality data and insights to make that support as effective as it can be. We are therefore proud to support SOSE and encourage all social enterprises to take part in the research” - Nick Temple, CEO Social Enterprise Business. SOSE is supported by:

17 November 2022 Responding to the Autumn Statement, Peter Holbrook, Chief Executive of Social Enterprise UK said: The Chancellor spoke of the resilience and inventiveness of the British people, these are qualities that the social enterprise community has in abundance, but these purpose-led businesses will need the support of Government to survive this recession and inflationary pressures. Social enterprises work in every sector of the economy including public services and so while the Chancellor was right to protect health and education budgets, SEUK is concerned by the absence of a clear plan to protect other vital services. It is vital that these purpose-led businesses, which create social and environmental value as well as jobs and GDP to the UK are able to keep the lights on and keep trading through this crisis. SEUK will continue to lobby the Government for more support for social enterprises on energy bills and to be a voice for social enterprise throughout this crisis.

17 October 2022 Responding to today’s announcements from Chancellor Jeremy Hunt, Peter Holbrook, Chief Executive of Social Enterprise UK, said: Social Enterprise UK welcomes the Chancellor's commitment to targeting energy support for business and encouraging energy efficiency, as social enterprises are more likely than other SMEs to have been investing in energy efficiency since before the energy crisis began. We call on the Chancellor to consider investing more in the social enterprise sector to help accelerate this work and contribute to an enterprise-led recovery.  Social enterprises are under pressure from increased energy costs now and will need support as long as the energy crisis continues, which is unlikely to stop in April.

1 September 2022 Commenting on the serious financial pressures facing social enterprises, Peter Holbrook, Chief Executive of SEUK, said: “Social enterprise performance has strengthened as we emerge from the height of the COVID crisis. But this growth and resilience is under threat as the business community and wider society face a financial crisis the likes of which has not been seen in almost half a century. Social enterprises are stepping up to the plate to continue to deliver for the causes, communities and people they support and to do the best they can by their staff. However, for many the costs of operating are set to skyrocket, to levels that may challenge even the most robust of social enterprises.  “There are many social enterprises that will be providing vital support to those worst affected by the cost-of-living crisis, and it’s crucial they’re able to keep doing so in the coming winter and beyond.” “We have been working with other business sector groups over the summer on what the package of support required might be and expect to meet with Government representatives to discuss the swift rollout of support once the new Prime Minister is in place.”

7 July 2022 Statement from Peter Holbrook CBE, Chief Executive Officer, Social Enterprise UK “The Prime Minister has resigned and we will now see a contest to replace him.” “The country faces significant challenges from the cost-of-living crisis to the climate emergency. We need the next Prime Minister to be someone who understands that we cannot go on with business as usual. We need bold leadership if we are going to get Britain back on track.” “The present situation has shown the importance of integrity and why all our institutions, not just our politics, need to be governed with a sense of social responsibility. Government and business must put people and planet first.” “Social enterprises have a huge role to play in our future. There is no route to levelling up and bringing prosperity to all parts of our country that does not involve growing the social enterprise sector.” “SEUK will work with all Conservative leadership candidates to help them to understand the potential of our sector and we look forward to working with the next Prime Minister.”

23 March 2022 Peter Holbrook CBE, Chief Executive, Social Enterprise UK said: “There is some good news in the Spring Statement today for social enterprises, with increases in Employment Allowance which will help social enterprises to continue to successfully create meaningful jobs, and the Chancellor’s VAT-cut on energy saving materials which will help strengthen the growing green social enterprise sector.” “The Chancellor set out the need for more investment in people, ideas and capital – exactly what the UK’s social enterprises are so effective at delivering. But instead of recognising the need to reform the private sector, he is cutting tax and hoping that business will do the right thing. All the evidence shows that it is not a lack of generous tax support which is holding our economy back, it is the short-termism of business and finance.” “SEUK will engage closely with HM Government on its proposals to reform our tax system to help businesses grow and we will champion social enterprises. But tax cuts are not a substitute for a plan to reform the economy. This is the case that social enterprises will keep making in the months ahead.” 

Stockport has been recognised by an expert judging panel as a Social Enterprise Place, meaning the area is committed to purpose-led business and the local economy is thriving. Stockport is one of the fastest growing northwest economies, placed in the UK top 20 for productivity growth. The status is a further welcome addition to the area’s achievements on top of it being ‘one of the top places to invest in 2022’ and affectionately dubbed ‘the new Berlin’ due it’s blossoming arts & culture scene. Jo McGrath, Chief Executive of Sector3, Stockport’s VCFSE infrastructure support organisation says of the status: ‘We see gaining social enterprise place status as another way for us to get focused on what we want and need to create and get our Social Enterprise community noticed for all the wonderful positive impact it has locally as well as the strong social economy we are part of building. The social enterprise community deserve to be recognised for the outstanding contribution they make to society and the economic progress has been made but there is still a way to go. We’ve taken heed of the recommendations from the last State of the Sector report, calling for greater collaboration within the sector and cross-sector, with more partnership opportunities established such as the Proper Good Business Conference.’ Over the past three years Stockport has invested time and resource into its social enterprise community with the creation of a steering group and commencement of investment and support programme, ‘Proper Good’, (funded by Access, the Foundation for Social Investment and Better Society Capital) - both driven by Sector3 and The Goodness Collective. Stockport sees Social Enterprise as a vital part of the economy, having incorporated it into the borough’s economic plan. Furthermore, Social Enterprises can play an important role in addressing and tackling inequalities. Stockport is the 8th most polarised borough in England and the deprived areas have lower education and life expectancy outcomes than comparators. In recent years more social enterprise and third sector organisations have been created to meet these changing communities and local need. Cllr Frankie Singleton, Liberal Democrat Councillor for Hazel Grove and Cabinet Member for Communities, Culture and Sport says: ‘I’m delighted that Stockport has been named as a registered Social Enterprise Place by Social Enterprise UK. We have so many thriving organisations here in the borough and a real sense of community that is something to be proud of. Social enterprises are good news for everyone: they create positive social change by investing in our communities and third sector organisations. Being officially recognised as a hotspot on a national scale is great news for Stockport, and I look forward to working closely with businesses and the voluntary, community, faith and social enterprise sector to deliver the best outcomes for everyone who lives, works and spends time in the borough.’ The recognition is the result of co-ordinated activity between Stockport’s VCFSE infrastructure support organisation, Sector3, the Stockport Council and social enterprises across the borough via a steering group. Simone Callaghan, director of Social Enterprise The Goodness Collective CIC and leader of Stockport’s Proper Good programme says: ‘Stockport is home to an abundance of enthusiastic people with ideas and passion to support their communities through a different way of doing business that has a positive impact. We have 270 Social Enterprises registered here and counting, working in healthcare and wellness, education and skills development, digital, personal development, financial inclusion, arts and culture sectors and more.’ ‘We’ve got to this stage by supporting each other, working together and challenging the status quo. Those new to the sector in Stockport comment how well-connected, supportive and giving we are as a community.’ Social Enterprise UK’s CEO Peter Holbrook said: “With growing inequalities and the cost-of-living crisis adding to major challenges like housing and work insecurity, social enterprises have never been more important in our society – and Stockport’s social enterprises are already playing a key role in the local economy, not only providing vital services but supporting the community and improving the environment. “We hope that getting Social Enterprise Place status will help act as a lightning rod to galvanise the social enterprise community, supercharge the sectors growth and deliver the economic transformation needed for the communities of Stockport so that they can realise their full potential.” To find out more about Social Enterprise Places click here.

Charity Bank, the loans and savings bank for social good, is inviting trustees, directors, CEOs and managers of charities, social enterprises and community organisations to attend a series of free regional events in September and October. Held in collaboration with local and national sector partners, the events will explore the critical role of sustainable finance in driving positive change and fostering thriving communities. The half-day events will be taking place in Liverpool, London, Wolverhampton, and Southampton, with an additional virtual event to ensure that content is accessible to all. Speakers will include national and regional experts including Locality, Community First, Crowe Accountants, Brabners Solicitors, SIB Network, Charity Intelligence, and others. Together they will discuss how sustainable finance can enable charities and social enterprises to unlock their potential, the state of the sector, local challenges, and explore innovative solutions. The events will also offer an opportunity for charities, social enterprises, and community organisations to connect with like-minded individuals, finance experts, and expand their networks. Each event will be hosted from 9:30am – 12:30pm at the following locations: Liverpool (The Bluecoat, L1 3BX): Thursday 28th September London (Museum of Brands, W11 1QT): Tuesday 3rd October Southampton (Ordnance Survey, SO16 OAS): Thursday 5th October Wolverhampton (ASAN, WV2 1EL): Tuesday 10th October Virtual event (Via Zoom): Tuesday 17th October To find out more and register visit charitybank.org/NavigatingChange About Charity Bank Charity Bank is the loans and savings bank for charities, social enterprises and people who want to make the world a better place. It uses its savers’ money to provide much needed loans to UK organisations working to drive positive social change – bringing benefits for people, communities and the environment. Since 2002, Charity Bank has made more than 1,200 loans totalling over £450m to housing, education, social care, community and other social purpose organisations. Charity Bank is owned by social purpose organisations and aims to use its expertise, commitment and flexible approach to lending, to help charities and social enterprises get the support and funding they need. charitybank.org

Georgia Gould MP tells attendees at the Social Value Leaders’s Summit that she wants to give social value “more teeth, more strength, more clarity”.  Georgia Gould MP, the Cabinet Office minister responsible for public sector reform, has said the government intends to consult on further reforms to public procurement processes, as announced to Parliament in February.  Speaking at the Social Value Leaders’ Summit yesterday, Gould said she wanted to give social value ‘more teeth, more strength, more clarity’ and was keen to explore how to really capture the social value of social enterprises.   “If I’m back here in a year’s time, I want to see a real change in the way government and the public sector buys that is thinking about how we support, incubate and maximise spend with SMEs and social enterprises,” Gould said.   To build on progress thus far, the Government will consult on a range of measures to potentially take forward public procurement processes and drive economic growth, support small businesses, and better support innovation.   Declaring herself “a big believer in social enterprises” Gould was addressing a crowd of nearly 200 social entrepreneurs, commissioners and corporate social value leads gathered for the tenth Social Value Leaders’ Summit at the headquarters of professional services firm PwC in central London.   Gould shared that the potential for procurement as described in the government’s recent National Procurement Policy Statement had captured the imagination of her colleagues in the Cabinet Office. The statement sees public procurement as a key lever to achieving Government aims by sourcing goods and services that deliver value for money and social value.   The challenge that remained was to make sure that the people procuring goods and services really prized social value. “Too often procurement teams are isolated from policy objectives,” she said. “There is a culture change needed across the system and there’s a lot we’re doing to push this forward”.  Smaller contracts, more notice, efficient auditing  The minister was preceded by Gareth Rhys-Williams, Chair of National Highways, who lamented the various instruments available to measure social value and called for a joined-up approach to “avoid a chaos of measures and metrics”. This was important, he said, as a third of all tax money goes on public spending.   To try and create social value, Rhys-Williams explained that National Highways have worked on breaking project work up in order to offer contracts that are manageable for VCSEs to service. He also revealed that the organisation will set targets for VCSE expenditure for the first time from April next year.   The mismatch between what commissioners want and what VCSEs can provide was also touched upon by Karolina Medwecka-Piasecka, East Birmingham Programme Development Manager at Birmingham City Council, who called for better forward planning of significant projects so that VCSEs have time to plan and possibly collaborate. “If you know a big contract is coming it might take three years to build a consortium, so the notice of that contract needs to be very advanced,” she said.   The role of VCSE organisations in delivering a mission-led procurement system had earlier been debated by representatives from Kings College London, facilities management provider MITIE, social enterprise Groundwork and law firm Stone King.   Graham Duxbury, CEO of Groundwork pointed out that, although social value is now part of the procurement lexicon, it’s not always followed through into contract management, with the result that it was too easy for social value to slip down the agenda. Another view on this was offered by Sara Rial, Social Outcomes Lead at business consultancy Jacobs, who told the audience in the last session of the day that she had seen clients she was advising “make big commitments and deliver absolutely zero” in terms of social value.   Fellow panelist Chris Luck, CEO of employment charity Shaw Trust offered some context on the environment in which VCSEs were trying to win contracts, explaining that for most small VCSEs, there were only one or two people working on bids and that for many organisations, the cost of bidding is prohibitive.   Overall, the summit offered a wealth of thinking on the delivery of social value which a more developed procurement system has the power to unlock. We’re grateful to our partners Anthony Collins, Jacobs and PwC for supporting us to host an event which showcased a range of opinions and ideas to further advance a more impactful procurement environment. It feels like we’re at a real turning point for social value, and this is a key theme of our new position paper, which we’d like to share with you. It sets out that this moment is the start not the end of a journey towards mission-driven procurement and will help guide this work going forward.   Over the coming weeks we will also be working on a document bringing out the key learnings from the day.   View some pictures from the Social Value Leaders’ Summit 

How do you encourage some of the most traumatised and disempowered people in the country to access healthcare? The Butterfly Project shows the way How can my team connect and work with the most marginalised people and communities in society? It’s a question that is asked repeatedly within the public sector.  And as we become increasingly aware of how inequality damages health and drives up pressure on public services, it is a question asked with ever greater urgency.  There is perhaps no more marginalised and ignored group than female prisoners. The vast majority have suffered layer upon layer of disempowerment. Many come from poor and excluded communities. Over half have experienced further disempowerment and trauma in the form of domestic violence, sexual violence, and abuse as a child. Then, of course, there is imprisonment itself which is very deliberately a form of marginalisation and disempowerment which has a disproportionately negative impact on women.  The proportion of female prisoners self-harming is seven times higher than male prisoners, while alcoholism and drug use is twice as high. In short, trauma, exclusion and distrust of authority are part of the everyday lives of female prisoners. This is not a group that is likely to engage positively with the state in any of its forms no matter how benign.  So, when a frontline innovation manages not only to engage but generate measurable positive outcomes with female prisoners, it is probably worth the rest of the public sector paying attention.   Releasing the Butterfly  That initiative is The Butterfly Project run by a social enterprise called Spectrum. The Butterfly Project set itself a simple but challenging goal: to increase the cervical screening rate to 90% for the 500 prisoners held at HMP Styal in Cheshire. This was ambitious. The screening rate at the prison was only 64% when the initiative began in 2020. The rate for the English population is not much higher at 69%. So, this would mean encouraging one of the most excluded groups in the country to massively exceed standard screening rates.   The Butterfly Project secured its goal. 92% of women at HMP Styal underwent cervical screening between 2020 and 2022. An achievement that has proved sustainable with a 91% rate by 2024.  So, how did The Butterfly Project do this? There are four key principles to their work. Principles that have wide applicability beyond engagement with prisoners.  1. Go where the people are  It may not sound radical but one major innovation was conducting cervical screenings at the prison itself. Most medical procedures occur outside the prison walls requiring prisoners to be escorted, often in handcuffs and prison vehicles, to a hospital or clinic accompanied by a prison officer. A process that reinforces stigma and inevitably adds considerably to the anxiety of any medical procedure. Conducting screenings in the prison eliminates that barrier.  This goes to the heart of an assumption underpinning much of public sector activity, namely that people should come to us. Vast swathes of the public sector’s work is conducted in buildings and places that suit the public sector rather than the people and communities they are serving. This inevitably creates an immediate barrier for engagement requiring people to invest time and money and to overcome mental and physical health barriers to interact with the public sector. It is telling, for example, that the Community Led Support initiative that has had such a positive impact on social care invests a great amount of time and energy into finding the right venue for their service.  Indeed, the principle has been taken a step further at another prison, HMP Low Newton, where a colposcopy unit has been set up so that any abnormalities identified during screening can be followed-up on site.  2. Let trusted people with relevant lived experience do the engagement  Peer mentors are at the heart of The Butterfly Project. These are prisoners who play a vital role not just in spreading the message about cervical health but also in discussing directly with those who may be anxious or doubtful about undergoing screening.   The mentors bring two vital aspects to the engagement. Firstly, they are far more likely to be a trusted source of advice and connection than a public service professional particularly when the population in question will have all been in conflict with the state and may have suffered mistreatment and discrimination at the hands of the public sector. Secondly, they bring an inherent and profound understanding of the lives of their fellow prisoners because they lead that life themselves.  There is clearly a lesson here for the public sector as a whole. Many public sector organisations assume that public sector staff or elected representatives are the best people to lead engagement. In fact, this assumption should be turned on its head in the case of marginalised groups by understanding that the public servant may well be the worst person to lead engagement. Instead, find those from the community who have the trust and shared experience of the community to act as connectors and conduits.   3. Take time to listen and understand  The role of The Butterfly Project’s peer mentors is not to meet targets or to push people into screening but to listen to their fellow prisoners and understand their fears and hopes. That can take a long time, particularly when working with people dealing with profound trauma. But it is time well spent for it enables trust to be built and allows mentors to develop a deep appreciation of the barriers preventing the women at HMP Styal accessing healthcare.  It’s an approach that extends to the Project’s medical personnel as well, who will often take considerable time to explain the screening procedure alongside the mentors and help address any concerns.  This is not an easy message for much of the public sector to hear. Time is a very scarce resource in a world shaped by constrained finances, rising demand and an obsession with top-down targets. The emphasis too often is on processing people as quickly as possible rather than taking time to listen and understand. But if any public sector body is serious about engaging with excluded individuals and groups, then ways must be found to carve out the time to build the necessary connection and trust.  4. Keep it friendly and welcoming throughout  Finally, and perhaps most obviously, The Butterfly Project places a premium on friendliness and providing care in a welcoming environment. Those who undergo screening often comment on the kindness of the doctors and nurses in the unit at HMP Styal. The necessity of this is obvious, particularly when engaging with people who may have suffered mistreatment and trauma. It is not only the most human approach but clearly it is the best way to ensure ongoing engagement and trust.    What The Butterfly Project teaches us is that with the right practices, enough time and a considerable dose of humility, it is possible to transform engagement with even with the most excluded people and communities. As health inequalities rise and demand pressures keep growing, this is a lesson the public sector needs to learn as quickly as possible. 

On the fifth anniversary of the first lockdown, academic research shows that social enterprises not only survived during the pandemic - they thrived. Professor Richard Hazenberg and Dr Claire Paterson-Young from the University of Northampton explain.  At the five-year anniversary of Boris Johnson’s lockdown announcement in March 2020, there remain many questions as to the impact of the pandemic on the country’s economy and society.  One area that we still know relatively little about is the impact that the pandemic had on social enterprises and their ability to serve their communities.   Social Enterprise UK research in 2021 found that social enterprises proved resilient, retaining staff and having lower closure rates than other forms of business. But our team at the University of Northampton’s Institute for Social Innovation and Impact (ISII) has now found that social enterprises performed even better than previously thought.  With our new research, we found that not only were social enterprises resilient, but they also grew their turnover and increased staff numbers. Despite the challenges of operating during a pandemic, they also increased the number of people they were helping.   We looked at the financial performance and social impact of 1,507 social enterprises both before and during the height of the pandemic, covering the years 2019-2022.  It used data from the Social Enterprise Support Fund (SESF), delivered by Big Issue Invest and partner organisations, through funding secured from the National Lottery Community Fund.   Misson makes for resilience   Our analysis revealed that in the three years between 2019 and 2022, social enterprises in the sample increased their turnover by 28% and their profits by 89%. As social enterprises, those profits were largely reinvested into their social missions, supporting the groups and communities hit hardest by the pandemic. Not only did the financial statements make for good reading, but staffing levels and the number of beneficiaries supported both rose by 11%.   Moreover, these figures did not come at the expense of trading income. Whilst there was an increase in grant funding, overall proportions of trading income barely changed (-0.7%), illustrating that increases in turnover was balanced between both income streams (grant funding accounted for just over one-third of turnover increases).   How did the sector achieve this during a time of such immense challenge? It should perhaps not come as a surprise, as previous studies during earlier crises (such as the 2008 financial crash), have shown that the nonprofit sector tends to be resilient.   As part of our research, we held interviews with 17 social entrepreneurs and 16 stakeholders from the wider social enterprise ecosystem. These revealed that, for social enterprises, their inherent hybrid focus on both financial and social missions aided their reactions to the pandemic.   Indeed, it was their social focus, commitment to their communities, and ethical approach, which alongside their ability to problem solve and reshape their offers, allowed them to continue to deliver support. Community support offered by social enterprises was significant in reducing isolation, including the delivery of support to enable people to access technology, expansion of counselling for children, and online educational provisions.  It was therefore the multi-mission focus that lies at the heart of social enterprise approaches that supported this resilience.  Lessons to learn from   What does this mean for the social enterprise sector and those seeking to support it? Our sample is not illustrative of the social enterprise sector as it did not contain many micro social enterprises. The data also only runs through to 2022, so doesn’t determine how the organisations developed through the remainder of the pandemic and beyond.   However, the data does show that focusing on both financial sustainability and benefiting communities can prove an asset for organisations, at least when reacting to crises. Supporting more businesses to improve the integration of social mission at strategic levels and critically assess their community operations can support not only their resilience and sustainability but deliver wider economic and social benefit.    Perhaps most importantly, the data shows that social enterprise proved resilient and focused on delivering for their communities, despite the many challenges faced. As the UK faces ongoing challenges in public services delivery, spending cuts, and social tensions, support to allow social enterprises to expand further is vital, not least as a protection measure against the next big crisis.  The full, open access paper with the complete findings of the research, can be found here.  This article is part of SEUK’s Social Enterprise Knowledge Centre University Network – to find out more please contact research@socialenterprise.org.uk

Supplying services to the government or intending to? Here’s everything you need to know about the government’s new Procurement Act and how it will affect you.  Many of our members supply goods and services to local and national government, which is why the Procurement Act 2023 finally coming into force on 24 February is big news for social enterprises. The government is telling us that “the rules that shape how public bodies buy goods and services will change,” so if you’re a supplier or aspire to be, read on. We’ll tell you what’s changing, what you can do to prepare for it and why this is good news.  What is the new Procurement Act? According to the government, the new Act will simplify bidding and negotiating for contracts with the public sector by introducing a more flexible process that will reduce bureaucratic barriers for social enterprises. Payment will be more prompt, with 30-day payment terms on more contracts being promised, and suppliers can also expect feedback on their tenders from public bodies.   Key to this slicker way of working will be a new central digital platform, which is being positioned as ‘an enhancement to the existing Find a Tender service’. Registration will be simpler, and you’ll be able to store your core business details, making it easier to share your information with contracting authorities and use it for multiple bids. If you’re interested to see the new platform, the section below tells you how. All public procurement opportunities will be visible and searchable, and you’ll also be able to set up alerts, making it easier to stay aware of relevant available tenders.   The Act also promises a new regulator to ensure everyone plays by the new rules. The slightly Orwellian sounding Procurement Review Unit (PRU) will ‘enhance public sector procurement practice by ensuring adherence to the Procurement Act and safeguarding public procurement from suppliers deemed to pose risk’. Should you feel you were treated unfairly through the procurement process, the PRU will be the people to speak to, including anything to do with late payment.   How to get ready for the changes The government has done a good job in providing lots of resources to help you prepare for this new procurement process. It’s put a wealth of written information at your disposal, but also a library of 'Knowledge Drop' videos, as well as the training materials they are supplying to public sector buyers. You can find links to all of these on the government website. If you can set aside an hour, this video gives an overview of the new Procurement Act, along with key benefits and a demonstration of the new central digital platform. Join one of our practical webinars  We’ll be hosting a series of webinars to support organisations make the most of the opportunities being created by the new procurement landscape. 13 March, 12-12:40pm – Support for social enterprises Join our Deputy CEO, Charlie Wigglesworth, who’ll run through the key requirements for social enterprise suppliers. This webinar will be taking place in our Members’ Area and SEUK members will be sent a sign-up link in advance. If you’re not a member but would like to find out more, please fill out this expression of interest form. 12 March, 11am-12pm – Support for government suppliers VCSE Crown Representative, Claire Dove will run through the governments plans to increase spend with social enterprises and charities, providing practical examples and advice. 11 March, 12-1pm – Support for local authorities This webinar, explicitly tailored to local authority commissioners, will outline why it is important to involve social enterprises in the commissioning process. Why is this an opportunity for social enterprises?  The government has prefaced the Act going live with a National Procurement Policy Statement (NPPS) which provides transparency to the expectations they have of commissioners.   In it, it’s particularly pleasing to see recognition that social enterprises “are more likely to generate diverse and thriving local economies, creating jobs and economic growth”. Even better, that the number one requirement for economic growth in the NPPS is to “maximise procurement spend with small and medium-sized enterprises (SMEs) and voluntary, community and social enterprises (VCSEs)”.  Read our full response to the NPPS. Overall, we see the new Procurement Act and accompanying statement as a good direction of travel towards our aim of all public sector procurement creating social value. If you’re interested in knowing more about this, you can read about our Social Value 2032 Programme.

The government has announced that a Social Impact Investment Advisory Group will ‘review existing work on impact capital ... and provide views on the long-term future and direction of this work.’   As this comes hot on the heels of Lord Adebowale’s recent report into social investment, this should be welcome news. There’s only one problem: they’re not talking to social enterprises – the customers for social investment – about it.  To try and address this oversight, we’re publishing an open letter to the government pointing out some of the flaws in social investment uncovered by the Adebowale Commission and offering to work with them, connecting them with social enterprises to talk to as part of their work.   Our open letter Dear Chief Secretary and Secretary of State,  As representatives of social enterprises across the UK, we were interested to see the promise of a new Social Impact Investment Vehicle announced in the Autumn Budget, which we hope can support the Labour government to deliver on its key missions.  As you will be aware, social enterprises work in every sector of the UK economy. Government figures report 131,000 social enterprises, with a collective turnover of £78 billion and employing around 2.3 million people. These businesses are growing local economies, delivering high quality public services, running creative arts and leisure services, hospitality and restaurants, cleaning, recycling, clean energy and waste management businesses.  We know that investment can be a powerful tool which enables mission-led businesses to thrive – evidence tells us that social enterprises which receive investment experience higher growth and make an even greater contribution to our economy and society.  Yet too often over the last decade, the promise of social impact investment has failed to reach its full potential. This is especially true for marginalised social entrepreneurs.  In 2023, while 40% of social enterprises did not think the finance available to them was suitable, this number rose to 51% among Black-led social enterprises. Similarly, while 60% of social enterprises reported that financial barriers were impeding their growth, 71% of Black-led social enterprises felt this applied to them.  We were particularly pleased to see, therefore, that the new Social Impact Investment Advisory Group will review existing work in the field and provide views on the long-term future and direction in this area. We hope the Advisory Group can play a deliberate role in reducing these inequalities and ensure social entrepreneurs from all backgrounds have access to flexible, sustainable finance.  To ensure that this new impetus does not replicate the existing inequalities found within social impact investment, it is critical, therefore, that membership of the Advisory Group is balanced by those with less power in the market. We urge you to engage not only with existing investment providers and financiers, but also with those on the demand side - with social entrepreneurs, with those who struggle most to attract finance, and with those who have yet to see the benefits of shared ambitions.  We would like to support you with the development of a new, shared direction for the future of social impact investment – one which engages with social enterprises up and down the country and from all backgrounds, and which can unlock the potential of those who are often left behind by existing initiatives.  We would be happy to recommend social entrepreneurs and social enterprises to engage with as part of the Advisory Group, and throughout their work, to ensure this new impetus addresses imbalances in the social impact investment field and delivers inclusive economic and social value in support of the government’s missions.  We want to see mission-led businesses work hand in hand with your mission-led government to deliver sustainable social and economic impact across the UK. We look forward to supporting your work further and welcome the opportunity to meet with you at your earliest convenience.   Yours sincerely,  Bethan Webber, Colin Jess, Chris Martin, and Peter Holbrook  CEOs of Cwmpas, Social Enterprise Northern Ireland, Social Enterprise Scotland, and Social Enterprise UK 

Towards mission-driven procurement systems Our Social Value Leaders’ Summit on Wednesday 26 March in central London, brings together senior leaders and decision-makers from across the public, private and social enterprise sectors to discuss, debate and shape the future of social value. With the Procurement Act now live and the new National Procurement Statement (NPPS) giving social value an important role in the contracting process, this year will see the biggest changes to how government spends its money in a generation. The NPPS calls on public bodies to “maximise procurement spend with VCSEs (voluntary, community and social enterprise organisations)” and the Summit will look in depth at how these organisations can drive growth and deliver transformative change on a local and national level. Programme and speakers Our keynote speakers have both been instrumental in the passing of the Act. Georgia Gould MP, Parliamentary Secretary to the Cabinet Office, will be delivering an interactive session with the opportunity to ask questions and Gareth Rhys-Williams the Chair of National Highways and former UK Government Chief Commercial Officer will set out a vision of how procurement can deliver a fairer, greener and stronger economy.  There'll also be mix of insightful panel discussions featuring cross-sector speakers focusing on: The role of VCSEs in delivering mission-driven procurement How social value can deliver economic growth Improving public services Tackling regional inequalities In between discussions, there will be interactive roundtables looking in more depth at what mission-driven procurement means and whether the new procurement landscape represents an evolution of the established system or a revolution. View the full programme The Summit is an invite-only event for leaders in the social value space. If you’re looking to increase the positive social and environmental impact of the goods and services you procure, or are a VCSE with a track record of social value delivery you can express your interest in attending by filling out this form. The Summit forms part of our Social Value 2032 programme and is supported by our Partners: Anthony Collins, Jacobs and PwC. This ambitious project looks at how we can embed social value across all public sector procurement and influence the spending of the UK’s largest companies. If you are interested to know more about the partnership or Summit sponsorship please contact jennifer.exon@socialenterprise.org.uk

Katharine Sutton is Chief Executive of Aspire Community Works, a social enterprise provider of public services whose #BetterForUs campaign advocates a wellbeing approach to the economy. The vast amounts of public funds allocated through procurement can shape community well-being, support fair employment and strengthen local economies – yet all too often, this potentially transformative spending is reduced to a technical purchasing process. At best, the cheapest price is prioritised over the quality of public services, but at worst it can mean large-scale corruption and the collapse of get-rich-quick companies such as Carillion. A new mission-led government, a new Procurement Act (due to take effect in February 2025) and new National Procurement Policy Statements (in England and Wales) provide opportunity for bold reform to ensure the system is people-led rather than profit-led. This blog explores various practical ways in which public procurement can be made to work for the public, not against it. Make fair wages and good working conditions the standard Every public contract should include a commitment to paying the Real Living Wage. Workers deserve fair compensation that enables them to support themselves and their families. Setting fair wages as a standard can reduce poverty, lessening reliance on health and welfare services. Fair pay fosters health, stability and productivity, creating a more resilient and engaged society. All public contracts should also promote decent working conditions through the inclusion of Good Work standards certified by independent bodies. This will ensure workers have security, dignity and opportunities to develop, ultimately supporting the well-being of employees and wider communities. This is particularly important in sectors with low pay and high turnover to improve staff satisfaction and retention,  in turn generating higher quality services that the race to the bottom simply cannot sustain. Support local economies with targeted investment At least 1% of public procurement budgets should be allocated to organisations committed to supporting people facing barriers and disadvantage in the labour market. Directing procurement funds towards these “Good Works” organisations could help stimulate alternate local economies, create sustainable employment for individuals who might otherwise be excluded from the workforce, and tackle existing labour shortages. Aspire estimates that such an investment could generate over £3.9 billion for local economies, strengthening communities and fostering inclusion. Align procurement with wider values and goals Public procurement can and should be aligned with the UN’s Sustainable Development Goals (SDGs), leveraging each contract as an opportunity to support sustainable development and addressing issues such as inequality, inclusive growth and climate change. We consider these to be the golden thread linking procurement to community, domestic, international and corporate goals. While social value is an increasingly common part of procurement, we recommend a shift towards public value - linked to the SDGs - with the purpose of maximising public benefit. Social value often becomes a checklist, narrowly focused on short-term results, whereas public value encompasses a commitment to addressing long-term issues like inequality and resilience as well as mission-led public policy. Reframing procurement with a public value approach would enable public funds to support sustainable, community-centred, people-led goals. Such a shift would require contractors to align their objectives with government priorities, creating a more cohesive and impactful procurement strategy both at a national and local level. Put the public back in public procurement We must move beyond just listening to really actively involving local communities in the commissioning and procurement process, using the voice of lived experience to co-create services that are relevant and resonate with the people who will be relying on them. Investing in people-led procurement is a crucial part of investing for our future. Inclusive growth may be a buzzword for those who have wealth – but for those of us without, it is a necessity. As businesses and investors look for models of sustainable growth, the principles of social procurement align with a growing demand for economic resilience and accountability. This is an opportunity for the UK to lead, not just in fiscal responsibility but in responsible, impact-driven investment of public funds. At a time when economic value and social value need not be mutually exclusive, public procurement could become a cornerstone of the UK’s economic renewal. Over the next couple of months, our new government has the opportunity to direct public procurement to work for the public benefit and not against it. Will it seize the opportunity? We can only hope so.

Groundwork is a federation of 15 charitable organisations operating across the UK. It runs programmes and activities to help people improve their prospects, working with communities facing multiple challenges, in places that lack social infrastructure and economic opportunities. It combines environmental and social impact, building the green economy while supporting communities to connect with nature and adapt to the climate crisis. From creating green jobs to supporting people with energy bills and retrofitting homes, it works to build a fairer and greener future in which people, places and nature can thrive. Working with government departments Groundwork UK (the national body of the federation) distributes grant funding for the UK Government, acting as an intermediary to make sure public money is invested in communities at a grassroots level. This involves bidding for contracts with central government departments and acting as an outsourced intermediary provider of grant management services. It’s worked with the Ministry of Housing, Communities and Local Government to get groups  such as parish councils involved in local planning, and with the Home Office to support charities tackling extremism. It’s also been contracted by the Department for Culture, Media and Sport to run the Voluntary Community and Social Enterprise (VCSE) Energy Efficiency Scheme - a £25m programme, largely distributed through grants. So far it has funded 1,100 organisations to carry out energy assessments to help them improve the efficiency of their buildings. The benefits of working with a VCSE organisation Groundwork UK’s position of having national grant management capability but also being able to leverage connections through its federation members allows it to promote grant programmes at a local level, supporting organisations to navigate through complexity and access funding they may not have been aware of. Chief executive Graham Duxbury states that government outsourcing this kind of work aims to ensure grants are accessible to smaller, local organisations that are often volunteer-run. He said: “Having knowledge of that sector and that space is hugely important in terms of designing the service. You’ve got to be aware of capacity restraints and limitations, you’ve got to understand how volunteer-led organisations work and how to communicate with them as well as what to expect in terms of their capability to manage due diligence processes.” This close knowledge of the VCSE sector has allowed Groundwork UK to develop a good understanding of what’s proportional when it comes to distributing money, which means it can give the contracting body a clearer idea of what money can deliver when directed to organisations of various sizes and capacities. The second major benefit of working with Groundwork is that it’s “really good at bringing together partnerships”, as it knows where the “deep pockets of expertise are in the sector”. Graham points out that the energy efficiency programme would not have been possible without the support of specialist organisations such as the Centre for Sustainable Energy, the Energy Saving Trust and Locality. Thirdly, working with a VCSE provider helps create broader impact, with “cross fertilisation being what you get from the sector”. Combining the social and the environmental is at the heart of Groundwork’s ethos, and the funding it distributes  can create other opportunities for VCSE organisations. As Graham phrases it: “A grant programme may allow them to do one thing, but we may be able to communicate to them other opportunities and provide them with added value; so when we’re managing grants focused on a social issue we can signpost local grantees to other forms of funding and provide advice that might encourage them to think about their environmental impact too.” What were the main challenges in applying for a central government contract? One of the main challenges Graham identified was bidding timescales, with it being tricky to “be able to drop everything and jump on a bidding process for sometimes as little as three weeks”. This can make forming partnerships to deliver contracts difficult because “partnerships take time to develop, build and form - and very few VCSEs have those bidding resources, even relatively large ones like us”. Other challenges identified are issues around negotiating risk levels on contracts, as government contracts involve public money, with Treasury rules to “rightly focus on money being sensibly spent and looked after”. When it comes to grant management services, like those managed by Groundwork UK, these can lead to there being an over-specification on the part of the ultimate recipient of the money: “We’re sometimes caught between government machinery which wants all this assurance and protection and risk management, and a small voluntary sector organisation which doesn’t have the capacity to do that. If you put too much on them, they won’t engage - and that’s counter to the purpose of the grant programme, which is to get small-scale voluntary organisations funded to deliver.” The biggest challenge Groundwork faces on some grant programmes is down to annualised budgeting within Government, which can affect frontline organisations if delivery time slips and “potentially means that money disappears if delivery needs to extend into the next financial year”. Before VCSE organisations even get to bid to run a government service, the department in question has to bid to the Treasury as part of a Budget or Spending Review process. Once granted, “there’s a clock ticking”, with the design work and procurement exercise needing to be carried out - so the actual window for the delivery of the services can be “really concertinaed at the back end”, especially if the funding is only secured for a year.  As Graham puts it: “As an intermediary in the process you know sometimes you’ll have to put pressure on organisations to deliver in a less than ideal timeframe because funds can’t easily be moved from one year to the next.” Graham acknowledges that it is “hard to get the right balance between due diligence and not overburdening VCSEs”, but feels there could be solutions around “expanding those timeframes; thinking about multi-year commissioning processes to bring about more long-term certainty.” Another challenge faced by VCSEs is the still significant weighting on price as a deciding factor in who is awarded a contract, which can skew the process towards organisations able to offer the biggest discount, which may not be beneficial to the service being delivered. Graham asks: “If a department has secured funding from the Treasury for a particular piece of work, they’ve secured the money, so why put the additional stretch in there in terms of who can do it the cheapest?” Based on a conversation with Graham Duxbury, chief executive at Groundwork UK groundwork.org.uk

Groundwork is a federation of 15 charitable organisations operating across the UK. It runs programmes and activities to help people improve their prospects, working with communities facing multiple challenges, in places that lack social infrastructure and economic opportunities. It combines environmental and social impact, building the green economy while supporting communities to connect with nature and adapt to the climate crisis. From creating green jobs to supporting people with energy bills and retrofitting homes, it works to build a fairer and greener future in which people, places and nature can thrive. Working with government departments Groundwork UK (the national body of the federation) distributes grant funding for the UK Government, acting as an intermediary to make sure public money is invested in communities at a grassroots level. This involves bidding for contracts with central government departments and acting as an outsourced intermediary provider of grant management services. It’s worked with the Ministry of Housing, Communities and Local Government to get groups  such as parish councils involved in local planning, and with the Home Office to support charities tackling extremism. It’s also been contracted by the Department for Culture, Media and Sport to run the Voluntary Community and Social Enterprise (VCSE) Energy Efficiency Scheme - a £25m programme, largely distributed through grants. So far it has funded 1,100 organisations to carry out energy assessments to help them improve the efficiency of their buildings. The benefits of working with a VCSE organisation Groundwork UK’s position of having national grant management capability but also being able to leverage connections through its federation members allows it to promote grant programmes at a local level, supporting organisations to navigate through complexity and access funding they may not have been aware of. Chief executive Graham Duxbury states that government outsourcing this kind of work aims to ensure grants are accessible to smaller, local organisations that are often volunteer-run. He said: “Having knowledge of that sector and that space is hugely important in terms of designing the service. You’ve got to be aware of capacity restraints and limitations, you’ve got to understand how volunteer-led organisations work and how to communicate with them as well as what to expect in terms of their capability to manage due diligence processes.” This close knowledge of the VCSE sector has allowed Groundwork UK to develop a good understanding of what’s proportional when it comes to distributing money, which means it can give the contracting body a clearer idea of what money can deliver when directed to organisations of various sizes and capacities. The second major benefit of working with Groundwork is that it’s “really good at bringing together partnerships”, as it knows where the “deep pockets of expertise are in the sector”. Graham points out that the energy efficiency programme would not have been possible without the support of specialist organisations such as the Centre for Sustainable Energy, the Energy Saving Trust and Locality. Thirdly, working with a VCSE provider helps create broader impact, with “cross fertilisation being what you get from the sector”. Combining the social and the environmental is at the heart of Groundwork’s ethos, and the funding it distributes  can create other opportunities for VCSE organisations. As Graham phrases it: “A grant programme may allow them to do one thing, but we may be able to communicate to them other opportunities and provide them with added value; so when we’re managing grants focused on a social issue we can signpost local grantees to other forms of funding and provide advice that might encourage them to think about their environmental impact too.” What tips would you have for other VCSE organisations looking to work with government? A key tip Graham has for VCSE organisations is to “be visible to the departments to whom you think you’re relevant”, with an important part of this being to get on a government procurement framework. These are pre-procurement portals through which organisations enter their credentials and effectively write a bid to showcase what they provide and their ability to deliver. Groundwork is on a government framework on grant management services. Many departments use frameworks - with some, like the Department for Work and Pensions, referring to them as dynamic purchasing systems (or DPS). Often, if you are not on a framework, you cannot bid; they are effectively a pre-qualification process, so prospective VCSE suppliers should “find out if there are relevant frameworks for the kind of service that you look to offer”. The second main tip for VCSEs wanting to work with central government departments is to not forget that you can negotiate around certain terms of a contract. Groundwork has successfully had things amended in the terms and conditions of contracts, such as questions around payment. As Graham puts it: “Big businesses do this all the time, and we forget that, so we should have confidence that we can negotiate too and get a deal that’s right for us. Some things will never change but some things can and do.” Finally, Graham emphasises the importance in building a human relationship with the contracting department: “Remember that when dealing with government you are dealing with people. All good contracts are built on relationships so once you start to get to know the people on the other side of the fence and understand the pressure they’re under, such as managing public money and the finance and risk committees they need to report to, you get a better understanding on why things are done the way they are and what can and can’t be pushed back on. Never forget that any government contract is just a bunch of individuals trying to get something done.” Based on a conversation with Graham Duxbury, chief executive at Groundwork UK groundwork.org.uk

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.

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.

While the Awards are hosted by Social Enterprise UK, such a special event would not be possible without the generosity of our sponsors, so we're very grateful for their foresight and wisdom in supporting our pioneering sector. Our sponsors know what we know: that social enterprise is the future, it’s the best of Britain, and the best of business. These important allies at organisations of all sectors and sizes work as social intrapreneurs, championing our way of working and helping to grow our brilliant movement. Read more below about our sponsorship family – and please get in touch if you’d like to join our supporter network, building partnerships and demonstrating commitment to social enterprise. Barclays Business Banking Barclays Eagle Labs help social ventures to start, grow and scale through our suite of support for the UK Tech Ecosystem. We offer a range of services including our online Eagle Labs Academy, access to mentors, growth programmes, corporate connectivity and networking for social entrepreneurs at all stages of growth. We are proud to partner with London Social Ventures to deliver support via a network of 11 universities alongside other partners such as Impact Hub, Sustainable Ventures and x+why dedicated to supporting social impact businesses across our UK-wide physical sites. We have an international diverse supplier portal within Barclays, intended to help smaller SMEs to access our procurement opportunities as part of our ‘buy social’ mission, plus specialist internal teams dedicated to supporting VCSEs and the impact investment market. barclays.co.uk | @BarclaysUK BDO LLP BDO’s “Investing for Impact” agenda underpins our ambitions to help our teams, the business world and wider society succeed. Part of this approach is ensuring we understand our supply chain, embedding social and responsible purchasing with our existing and potential suppliers. In our last financial year, BDO worked with 14 social enterprises and spent over £315,000 – and we have an ambitious target to do even more this year, in part through our commitment to Social Enterprise UK’s Buy Social Corporate Challenge. We’ve also invested £8m in developing our workforce of 8,000 people and have set up initiatives to ensure that our recruitment, retention and pipeline are reflective of the society in which we operate. This includes the launch of our newest staff network, Bridge, which is centred around social mobility. Our commitment to developing talent wherever it starts is why we are proud to be supporting the Education, Training & Jobs Social Enterprise category at this year’s awards – whilst also celebrating the success of Social Enterprise UK on its journey. bdo.co.uk | @BDOaccountant Better Society Capital At Better Society Capital, we are proud to support Social Enterprise UK, as sponsor of the Social Investment Deal of the Year Award. It is so important to recognise the entrepreneurs and organisations striving to make a real positive impact on society, and the role that capital can play in supporting this goal. In light of current economic, social and environmental challenges, we will need to use every tool available to help support our communities – including social investment. This event celebrates the inspirational work of people who look to make a difference through business, and this is central to the mission of Good Finance: a collaborative project co-funded by Better Society Capital and Access - The Foundation for Social Investment. Good Finance exists to help charities & social enterprises navigate the world of social investment through their website, programmes and events, all of which aim to build knowledge of social investment and connect social enterprises and charities to the right investors. bettersocietycapital.com | @BetterSocCap Bunzl Cleaning & Hygiene Supplies At Bunzl Cleaning & Hygiene Supplies, we recognise the need to embrace social enterprises within our supply chain and enable the valuable work of those businesses – protecting vulnerable people, supporting climate action, and creating resilient communities. Since joining the Social Enterprise UK community, we have sought to collaborate with social enterprises in working towards our vision: to create a cleaner, safer, and more sustainable world. We are delighted to support the UK Social Enterprise Awards for the second year in 2024, and would like to congratulate all of tonight's winners as well as those who made this year's shortlist; we look forward to seeing what these purpose-led businesses will do next. bunzlchs.com | @BunzlCleaning Clear Voice As a social enterprise, social impact is at the heart of our mission. The profits generated from our interpreting, translation and accessibility services allow us to fund and train refugees to become interpreters via our InPower Project (nominated for Social Enterprise Innovation of the Year tonight). In 2023/24, we also donated £3.2m to our parent charity Migrant Help and generated an additional £3.3m in social value. Our clients - from private businesses to public and third-sector organisations - make this possible. We are proud to sponsor the Buy Social Market Builder Award, which recognises organisations that prioritise spending with purpose. clearvoice.org.uk | @ClearVoiceUK The Clink Events The menu this evening has been produced in The Clink Kitchens at HMP Downview by serving prisoners training with The Clink Events. Service staff, made up of graduates of The Clink’s training schemes and young disadvantaged people, are given intensive training and support in order to achieve a Level 1 NVQ in Hospitality. This education and work-based experience equips them with self-confidence along with the skills and ability to serve guests efficiently and professionally. Clink Events takes a modern approach to event catering, creating delicious food made from fresh, local ingredients. Where possible, Clink Events uses ingredients grown in the Clink Gardens at HMP Send, ensuring food is seasonal and full of flavour. Clink Events are proud to have partnered with Carbon Neutral Britain to measure and offset their carbon footprint, and are now certified as a carbon neutral business. theclinkcharity.org | @TheClinkCharity Company Shop Group A decade ago, we at Company Shop Group founded our not-for-profit social enterprise Community Shop, a unique social supermarket that aimed to address the root causes of food insecurity in the UK’s most deprived communities. Our interconnected yet distinctly separate business model has allowed us to provide sustainable long-term support for over 73,000 families, whilst our for-profit Company Shop ‘surplus supermarkets’ help the industry tackle the important issue of food waste with redistribution. We’re proud to support the Consumer-Facing category at the UK Social Enterprise Awards this year, as passionate ambassadors for social enterprises and the great work they deliver. companyshopgroup.co.uk | @Company_Shop The Connectives The Connectives are a team of experienced consultants with a track record at board, executive and senior leadership levels in commercial and social enterprises. We partner with you to develop better ways of working, so that you can create sustainable commercial success while fostering positive social and environmental outcomes. We’re delighted to sponsor the UK Social Enterprise Awards: an event that highlights and celebrates the incredible work of innovative social entrepreneurs across the country. Now more than ever, it’s crucial that we support the people and organisations who are committed to protecting our planet and building a better future for our communities. theconnectives.com | @TheConnectives Esmée Fairbairn Foundation Esmée Fairbairn Foundation is one of the UK’s largest independent funders. We aim to improve our natural world, secure a fairer future, and strengthen the bonds in communities in the UK. We do this by contributing all that we can to unlock change by people and organisations with brilliant ideas who share our goals. We believe communities can thrive when the local economy works better for the people who live there, and where they are at the heart of change. So, we’re thrilled to sponsor the Community-based Social Enterprise Award, which recognises remarkable social enterprises playing a vital role in their communities. esmeefairbairn.org.uk | @EsméeFairbairn GLL GLL is the UK's largest staff-owned charitable social enterprise delivering leisure, health and cultural services in partnership with 70 local councils, public agencies and sporting organisations. We're one of only three UK leisure businesses to be endorsed by Which? magazine as a recommended provider. Sponsoring the One to Watch Award emphasises the potential of social enterprises - from exciting start-ups to established national brands like ours - to change lives. To succeed at scale and last the course, social enterprises must not only follow sound customer-centred business principles, but also never lose sight of the reason we exist, and the ethical values that set us apart from the private sector. gll.org | @GLL_UK Keegan & Pennykid Keegan & Pennykid is an independent, second generation, family-owned insurance brokers with a UK-wide reputation as ethical and expert advisors to the third sector.  With over 55 years of experience under our belts we are proud to be known as dedicated specialists to the third sector, providing each of our clients with a highly personalised service.  Keegan & Pennykid is proud to sponsor the UK Social Enterprise Awards and recognise the invaluable work that organisations do in addressing and helping to alleviate social and environmental issues within the UK and wider world. keegan-pennykid.com | @KeeganPennykid Landmarc Landmarc works in partnership with the Defence Infrastructure Organisation (DIO) to manage the Ministry of Defence’s 190,000 hectare UK Defence Training Estate. Managing such a remote and rural estate makes Landmarc an important rural employer, a significant environmental manager and a maintainer of community relationships, in addition to our core role of support services to DIO. Delivering social value is therefore important to us, and we are delighted to join Social Enterprise UK to celebrate all those who deliver exceptional services to business and to society, by sponsoring the Environmental Social Enterprise of the Year Award. Good luck to all the finalists. landmarcsolutions.com | @LandmarcNews Linklaters As part of our commitment to buying social, and a member of the Buy Social Corporate Challenge, Linklaters is delighted to sponsor the Prove It: Social Impact category at the UK Social Enterprise Awards 2024. Our sponsorship reflects our dedication to social causes that foster positive impacts for the communities we operate in. This dedication is demonstrated through our global volunteering efforts, pro-bono work, mentoring of young people, and support for diverse and innovative social businesses. We wish all the finalists the best of luck, and look forward to celebrating their remarkable achievements at the awards ceremony. linklaters.com | @LinklatersLLP Mitie Mitie is dedicated to delivering social value: fostering a responsible supply chain, aligned with the UK Social Value Model and UN Sustainable Development Goals, is central to how we drive positive social change. Diversity is embedded in our supply chain, and our focus on equal opportunities ensures we actively work to identify and engage suppliers through Social Enterprise UK and others, such as MSDUK. We’ve spent £7.5m+ supporting purpose-led organisations since 2021, and £4.3m+ with VCSEs since joining Social Enterprise UK’s Buy Social Corporate Challenge in 2022. We are proud to support the UK Social Enterprise Awards and wish all nominees and guests an enjoyable evening. mitie.com | @Mitie Nestlé UK&I Supporting social enterprise is a key foundation of our Nestle Community regeneration approach. We are proud to be members of the Buy Social Corporate Challenge, which we joined a few years ago in partnership with Sodexo, and excited about the opportunities to work with more social enterprises in the coming years. This is in line with our Procurement Supplier Diversity programme, as social enterprises also help us to actively work with more diverse suppliers – something that is close to our hearts. As such we are delighted to sponsor the Building Equality, Diversity & Inclusion Award and would like to congratulate all of tonight's winners and those shortlisted. nestle.com | @NestleUKI NFU Mutual At NFU Mutual, we make a conscious effort to do business the right way. In 2021, we became a proud partner on Social Enterprise UK’s Buy Social Corporate Challenge; we are committed to supporting social enterprises and directing our spend on products and services towards businesses that create change. Last year, we worked with 39 different social enterprises and not-for-profit organisations, supporting causes from developing entrepreneurial skills in young people to empowering refugees with training and employment opportunities. We are delighted to be part of the UK Social Enterprise Awards 2024 and help celebrate the achievements of different social enterprises. Congratulations to all the winners, and those shortlisted. nfumutual.co.uk | @NFUM PwC At PwC, we support social entrepreneurs to create sustainable, resilient businesses. Sharing the skills of our people with social entrepreneurs goes to the heart of our purpose to build trust in society and solve important problems. Our successful PwC Social Entrepreneurs Club helps our membership of 400+ to develop skills, connect with other leaders, overcome challenges and maximise impact. As one of the founding members of Social Enterprise UK’s Buy Social Corporate Challenge back in 2016, we are proud to now have over 50 social enterprises in our supply chain and spend around £1.5m a year with them. We are delighted to support the UK Social Enterprise Awards 2024, and would like to congratulate all of tonight's winners and those who made this year's shortlist. pwc.co.uk | @PwC_UK Zurich Insurance Zurich is committed to supporting a fairer, more open and sustainable society, and aims to generate positive social impact within the communities that we operate around the world. As a founding member of the Buy Social Corporate Challenge, and Buy Social Europe, Zurich is proud to sponsor the International Impact Award in recognition of the important role that social enterprises play in generating positive social impact here in the UK and beyond. zurich.co.uk | @ZurichInsUK

Corporate supply chains are changing. Big businesses increasingly look at environmental, social and governance (ESG) considerations when it comes to who they spend their money with, and we’ve been at the heart of this shift. Our Buy Social Corporate Challenge is now entering its ninth year of supporting big businesses to bring social enterprises into their supply chains. Since launching at Downing Street in 2016, £477 million has been spent with social enterprises by 30 major corporate partners across all business sectors. The premise of the Challenge is simple: working with corporates to use their core business spend to create positive social and environmental impact. Buying from social enterprises allows companies to make progress across ESG priorities, through spending their money with organisations dedicated to addressing social issues and protecting our planet. Our latest annual report shows the Challenge had the most successful year ever, as partners spent £123 million with social enterprise suppliers. These range from businesses tackling period poverty and re-purposing old office furniture to those creating jobs for people marginalised by the labour market - such as those experiencing homelessness, refugees and the long-term unemployed. Around 4,515 social enterprise jobs have been created thanks to contracts won through the Challenge, with 992 social enterprises supplying Challenge partners last year alone. The number of trading relationships between social enterprise suppliers and Challenge buyers has increased by 74% in just the last two years, showing rising interest in social procurement. Charlie Wigglesworth, Deputy Chief Executive of Social Enterprise UK, said: “These latest results show that our Buy Social Corporate Challenge is not some well-meaning experiment for businesses willing to try something different – it’s a powerful force for change in corporate supply chains. We’re proud to see social enterprise at the forefront of this transformation. “Crucially, every single one of our corporate partners reported that social enterprises deliver comparable or higher quality products or services compared with other suppliers – a glowing endorsement and reminder that doing business with purpose beyond profit doesn’t mean compromising on standards. “With millions being reinvested in people and planet through our Challenge and the wider social procurement movement, we hope our vital work continues to inspire the public and private sectors to take action for the future of business.” Click here to read the Buy Social Corporate Challenge Year 8 Impact Report The Buy Social Corporate Challenge partners are Amey, AstraZeneca, AXA, CBRE, Compass/Foodbuy, Co-op, Deloitte, Equans, EY, John Sisk & Son Ltd, Johnson & Johnson, KPMG, Landmarc Support Services, Lendlease, Linklaters, LV=, Mitie, Nationwide, Nestle, NFU Mutual, PwC, Robertson Group, SAP, Siemens, Sodexo, The Crown Estate, Wates Group, Willmott Dixon, and Zurich Insurance Group. To find out more about our social procurement work and how your business can get involved in our programmes click here or contact socialprocurement@socialenterprise.org.uk

The various forms of repayable finance in the social investment sector play an important role in the social enterprise support eco-system, and can be vital for growth and development. However, the sector has been subject to scrutiny in terms of staff and portfolio diversity - particularly in terms of racial inclusion, and its ability to direct investment where it is most needed. Our new report, published with the London School of Economics and supported by the Connect Fund, uses elite education as a proxy to investigate aspects of diversity not yet well analysed in the sector: socio-economic inclusion, and the role of power and privilege among those who work for social investors.  The LinkedIn profiles of individuals working at social investment institutions were used as the main source of information to inform this research. Findings showed that 19% of employees had studied at an elite university with 12% of those sampled having studied at Oxford or Cambridge, more than ten times that of the UK population. Elite-educated employees represent a higher proportion of employees in social investment organisations than in the population in general, and a similar proportion to those in the mainstream investment sector. Given the variety of types of social investment providers, the research looked at the educational background of staff at different sorts of investors - with venture capital investors and social investment ‘wholesalers’ containing the highest proportion of individuals with an elite education, while social banks and Community Development Financial Institutions contained the least. The education of social enterprise leaders themselves was also studied, with analysis suggesting that being privately educated did not mean you were more likely to access funding or finance. However, interviews with those working in social enterprises who attended a state secondary school raised the need for investors to have a better understanding of working-class businesses in working-class communities. Whilst many social investors are taking steps to address imbalances in terms of diversity, it is important that the role of socio-economic advantage is incorporated into this work, so that investment can be better directed to people and communities that have been historically disenfranchised. The research was supported by the Connect Fund

Bounce Back, a charity and social enterprise, creates opportunities for young people and adults who have a history of or are at risk of offending to thrive, and ultimately help to shape a society where everyone can look forward to a bright future. It has been in operation since 2011 and supported nearly 10,000 people. The organisation provides end-to-end solutions focused around education, training and employment, working in prisons and in the community to provide holistic support. Shirley Riley, Director for Bounce Back, told us: “We believe everyone can change, and should be given the opportunity to do so. We provide this for people  inside and outside prison through diversionary activities, including City & Guilds training and wrap-around support into jobs with prospects, with a particular focus on construction trades.” Bounce Back’s charity funding comes mostly from contracts and grants, with around ten per cent from trusts and foundations as well as corporate sponsors. Its social enterprise, staffed by people who have accessed its services, started out in painting and decorating but now offers emergency repairs and maintenance for corporates,  charities and community groups. How Bounce Back works with central government departments. Bounce Back has worked with the Department for Work and Pensions and the Ministry of Justice (MoJ) as well as several local authorities. An example of its work includes the successful delivery of the ‘E-nuff’ Prison Leavers Project, funded by the MoJ through the Local Leadership and Integration Fund. E-nuff aimed to reduce reoffending through culturally informed holistic rehabilitation interventions, including resettlement planning and employment support. The programme was specifically designed for people serving a 12-month sentence or less with a focus on Black, Asian and Minority Ethnic prison leavers. In partnership with BeOnsite, Change Grow Live, A Fairer Chance and RISE, the initiative offered comprehensive access to the services required for a better experience on release and successful resettlement - from training and pre-employment support to family intervention and housing support, as well as services for substance misuse and other factors that contribute to rehabilitation. What are the benefits to government of working with VCSEs? Shirley believes that voluntary, community and social enterprise organisations (VCSEs) provide much more added value, going above and beyond the scope of commissioned services. When funders, and private sector providers invest in charities and social enterprises like Bounce Back, they also tap into and benefit from their extensive partnerships with local communities and groups, corporate partners, and employers – not to mention volunteers, who offer their time for free to make a difference. Shirley states: “VCSEs exist to make a difference, all our funding goes into making a difference to people’s lives, and communities.” Bounce Back’s work supporting those caught up in the criminal justice system also reduces the cost to wider society. As Shirley puts it: “If an individual can thrive, then the community thrives. If the community thrives, the whole borough thrives, and the economic climate improves. “By reducing re-offending, the cost savings to the government are significant, and also when people make positive behaviour changes, learn new skills and move from benefits to paid work. The average cost of a prison place in England and Wales is £46,696 a year (2021/22). People supported by Bounce Back are less likely to offend, with less than one in ten going on to re-offend, and three-quarters of those sustaining employment for at least six months (2021/22). “VCSEs can also better respond at speed and offer innovative solutions in a cost-effective way. They often go out of their way to “make things happen” - but this can put a squeeze on resources, especially given the uncertainty created by short term contracts.” What have been the main challenges in applying for government contracts? As mentioned, funding can be both short-term and not recurring. Shirley believes that - whilst this is great for testing new ways of working - if you evidence something works, there isn’t a way to scale and replicate so that it can be rolled out from short-term pilots to something permanent.  It’s also common for VCSEs to have to source contracts from different funding streams, to ensure people don’t fall through the gaps and get the support they need when they need it. Shirley commented: “It’s quite paradoxical that the work we’re trying to do is to help people have long term employment and long-term prosperity, yet the funds that they give us mean we’re employing people on short-term contracts.” She added: “Applying for funds requires resource, which for smaller VSCEs means leaders putting on one of their many hats and finding the time to apply.  At Bounce Back, we’re fortunate to have a small resource, but even we find it a struggle keeping up.” While Shirley has noticed social value in some tender questions, she felt it can be a bit “tokenistic” and framed too broadly. For example, criteria such as ‘employing local people’ overlook the additional benefits of working with an organisation like Bounce Back, which not only creates local jobs but also new opportunities specifically for those marginalised by the labour market. Based on a conversation with Shirley Riley, Director at Bounce Back bouncebackproject.com

Bounce Back, a charity and social enterprise, creates opportunities for young people and adults who have a history of or are at risk of offending to thrive, and ultimately help to shape a society where everyone can look forward to a bright future. It has been in operation since 2011 and supported nearly 10,000 people. The organisation provides end-to-end solutions focused around education, training and employment, working in prisons and in the community to provide holistic support. Shirley Riley, Director for Bounce Back, told us: “We believe everyone can change, and should be given the opportunity to do so. We provide this for people  inside and outside prison through diversionary activities, including City & Guilds training and wrap-around support into jobs with prospects, with a particular focus on construction trades.” Bounce Back’s charity funding comes mostly from contracts and grants, with around ten per cent from trusts and foundations as well as corporate sponsors. Its social enterprise, staffed by people who have accessed its services, started out in painting and decorating but now offers emergency repairs and maintenance for corporates,  charities and community groups. How Bounce Back works with central government departments. Bounce Back has worked with the Department for Work and Pensions and the Ministry of Justice (MoJ) as well as several local authorities. An example of its work includes the successful delivery of the ‘E-nuff’ Prison Leavers Project, funded by the MoJ through the Local Leadership and Integration Fund. E-nuff aimed to reduce reoffending through culturally informed holistic rehabilitation interventions, including resettlement planning and employment support. The programme was specifically designed for people serving a 12-month sentence or less with a focus on Black, Asian and Minority Ethnic prison leavers. In partnership with BeOnsite, Change Grow Live, A Fairer Chance and RISE, the initiative offered comprehensive access to the services required for a better experience on release and successful resettlement - from training and pre-employment support to family intervention and housing support, as well as services for substance misuse and other factors that contribute to rehabilitation. What are the benefits to government of working with VCSEs? Shirley believes that voluntary, community and social enterprise organisations (VCSEs) provide much more added value, going above and beyond the scope of commissioned services. When funders, and private sector providers invest in charities and social enterprises like Bounce Back, they also tap into and benefit from their extensive partnerships with local communities and groups, corporate partners, and employers – not to mention volunteers, who offer their time for free to make a difference. Shirley states: “VCSEs exist to make a difference, all our funding goes into making a difference to people’s lives, and communities.” Bounce Back’s work supporting those caught up in the criminal justice system also reduces the cost to wider society. As Shirley puts it: “If an individual can thrive, then the community thrives. If the community thrives, the whole borough thrives, and the economic climate improves. “By reducing re-offending, the cost savings to the government are significant, and also when people make positive behaviour changes, learn new skills and move from benefits to paid work. The average cost of a prison place in England and Wales is £46,696 a year (2021/22). People supported by Bounce Back are less likely to offend, with less than one in ten going on to re-offend, and three-quarters of those sustaining employment for at least six months (2021/22). “VCSEs can also better respond at speed and offer innovative solutions in a cost-effective way. They often go out of their way to “make things happen” - but this can put a squeeze on resources, especially given the uncertainty created by short term contracts.” What top tips do you have for VCSEs looking to work with government? Shirley has these top tips for VCSEs looking to apply for central government contracts: Make sure you’ve got your basics in place around how you describe yourself and your impact, and ensure you meet the needs they are looking for. Always ask for feedback on bids; it’s a great way to improve future applications. Bring talent from across your whole team into the tendering process - whether it’s the most junior or most senior person, use the skills you’ve got, rather than one person being all things to all people. The likelihood is that you’ll have talented people who are good at writing things. Based on a conversation with Shirley Riley, Director at Bounce Back bouncebackproject.com

On 2 May we joined hundreds of people from across our mission-led movement for a Future Economy Alliance battle planning session, preparing to push our sector up the policy agenda for the general election and beyond. Chaired by Alex Birtles, founder of our Alliance partner and supporter member In Good Company, the event brought campaigners together to discuss the role of mission-led organisations in the economy and how we can make our way of working the national norm. The need to change ‘business as usual’ The opening speaker was our Chair, Lord Victor Adebowale, who set out why social enterprises and other mission-led organisations are so vitally needed. Speaking from the House of Lords, he noted that life expectancy falls as you go further away from Westminster, with inequalities in everything from education to care and a growing sense of unease across the country.   Summing up the need for the Future Economy Alliance, the people’s peer said: "Everywhere from our trains to our water, you can see it’s possible to run a frankly shocking service while providing vital resources and still make a profit. Most people in this country now feel things aren’t right, we’re being ripped off. There’s a fundamental problem with the system that shapes our lives, our economic infrastructure – so we have to challenge it and change it. We have one economy, we all work for it, and it has to work for all of us too." Emphasising the importance of action before a general election, he added: "If we keep doing what we’ve always done, we’ll get what we’ve always got, and that sense of it not being right will grow. Never before has the choice been so stark about the future that you want to vote for. The public have to get behind us and the politicians have to listen to us. Something different has to happen.” The new Business Plan for Britain The economy is broken and we know that our movement of mission-led organisations can offer solutions to fix it. Our director Dan Gregory set out the key themes of the Alliance’s ‘Business Plan for Britain’, which focuses on five key areas where policy intervention could unlock the full potential of our mission-led movement. Dan represented Social Enterprise UK but was joined by partners across the Alliance, which includes models from co-operatives and employee-ownership to community business and social investment- and what was evident from the conversation was the vital importance of collaboration so we can be stronger together. James Wright, Policy and Development Lead at Co-operatives UK, stated how  important it is for co-ops to be part of a wider movement and highlighted the need to raise awareness of the mission-led sector beyond our individual business models. Oliver Smith, Deputy Chief Executive of the Employee Ownership Association, echoed this by talking about how we have more impact in numbers - emphasising the shared belief that “business and society are better when people have a meaningful stake and say in their work”. Helen Curr, CEO of healthcare social enterprise Here, stressed how it joined the campaign inspired by Nye Bevan’s original vision for the NHS based on a “redistribution of wealth and a re-balancing of society” and the desire to “raise a collective voice of doing things differently”. The final member of the panel was Ian McGrady, Managing Director of North West based social enterprise Edsential, which provides services for schools and joined the Alliance to “give us a larger voice”. Ian said that our sector has been “hiding in the shadows” but we can use the evidence of our collective impact to show that “this sector can be trusted with delivery”. Oliver echoed the importance of gathering and sharing good data on the benefits of our way of working, citing many examples: "We tend to be more productive, we benefit local economies, we do community work and volunteering, we have better supported employees and more diverse workforce – so the more of us that work together, the more we can achieve." The action you can take to fix our economy Through the discussion, the challenge was set out: to make our movement not a part of the economy but the heart of it. The Future Economy Alliance is nothing without the many hundreds of thousands of organisations we represent, and we need your help to make sure our leaders understand the scale and power of our sector. Your voices and stories are vital to showcase the value of mission-led organisations and push our way of working up the political agenda for the election and beyond. To help you do this, we’re going to be providing you with resources throughout this long campaign, starting with our campaign toolkit. This contains a template letter to invite your MP to your organisation, template press releases, social media copy and infographics to raise the profile of the work that you do and our wider mission-led movement. CLICK HERE TO ACCESS THE CAMPAIGN TOOLKIT You can watch the full recording of the webinar below:

We hosted an event with centre-right think-tank Onward this week to explore how social enterprises and other mission-led businesses can strengthen not only our economy but wider society, as part of our Future Economy Alliance campaigning to push our way of working up the policy agenda. Our Alliance chair Arvinda Gohil OBE joined a lively panel discussion including the Minister for Enterprise, Markets and Small Businesses, Kevin Hollinrake MP; Conservative Party candidate for South Norfolk, Poppy Simister-Thomas; CEO of NatWest Social and Community Capital, Victoria Papworth; and Executive Chairman of the social enterprise Community Shop, Gary Stott. The event was chaired by Adam Hawksbee, Deputy Director at Onward. Panellists discussed the power of mission-led organisations to address pressing challenges and the barriers keeping the sector from realising its potential, with a number of common themes emerging from the debate. You can read key insights below or watch a recording of the whole session here: Social enterprises are businesses Social enterprises form a key part of the business landscape, with Minister Kevin Hollinrake pointing out that there are more than 100,000 of them in the UK making a significant contribution to GDP. He stressed that “business and social enterprise are indivisible”, and the support available for traditional businesses should be relevant for those set up for a social or environmental purpose. Arvinda Gohil cited the huge impact of mission-led businesses, which now represent around 5% of UK businesses, creating 4 million jobs and re-investing more than £1bn of profits into communities. With 22% of social enterprises working in the most deprived areas in the UK, they are creating opportunities and reducing inequalities in the areas which need them most. Social enterprises are at the heart of local communities The discussion highlighted how social enterprises, co-ops and community businesses are vital to growing local economies - often running community assets and creating jobs or other vital opportunities for residents. Poppy Simister-Thomas talked about how social enterprises can “defy some of the economic constraints that big business has”, focusing on their strong community links and how many run local institutions like shops and pubs at a time when many businesses are shutting. She was also critical of the ESG efforts of some big corporates, which can appear as just a “nice to have” whereas social enterprises bring a “clarity of purpose” to their operations. This emphasis on community was brought to life by Gary Stott explaining how his social supermarket is reducing food poverty, bringing people together and supporting them to transform their lives.  A business set up to “build strong individuals and confident communities”, its shops sell discounted products for those receiving welfare support and run community kitchens with food at low prices, as well as delivering personal development programmes to help people find work. All their 12 stores are in areas of high deprivation and 53% of members move on within a year, as their model is fundamentally about supporting people to thrive independently. Access to finance is key Whilst Community Shop has built financial resilience funded by its members, the panel pointed out the importance of access to funding. Victoria Papworth talked about how NatWest Social and Community Capital exists to give funding to mission-led organisations who have been rejected by mainstream finance, highlighting the importance for funders to build relationships with the enterprises they are looking to support. She also hinted at the power dynamics inherent in the investor/investee relationship, stating that “social enterprises need to be ceded power and agency by funders” and acknowledging how “challenging and worrying” questions around debt and loans can be for social enterprises. The Minister agreed that access to finance was “the number one issue” for small businesses, mentioning the Government support that exists in this area and pointing out the importance of alternative finance providers such as community development finance institutions. This was picked up on in the Q&A session, with discussions around how we transform banking through ideas like a Community Investment Act and regional banking systems. Issues around procurement The barriers social enterprises still face when applying for public sector contracts was another key theme. Poppy stated that “procurement processes are often slow and difficult for small businesses to engage with, resulting in the domination of big players like Serco and Capita”. She outlined an issue raised by our Social Value 2032 Roadmap, whereby scoring penalises bidders with core purpose delivery against those adding it for bid purposes, and spoke of social enterprises being used in supply chains as ‘bid candy’.The Minister highlighted features of the 2023 Procurement Act designed to make it easier for small and mid-size enterprises, such as streamlining processes around things like indemnity insurance so that organisations only have to put this in place if successful in winning a product.

Today we brought together cross-sector experts at our Social Value Leaders’ Summit in Manchester, to discuss how this purpose-led approach to procurement and commissioning can be embedded across the public sector and influence spend in the UK’s largest companies. The keynote speech from Manchester City Council leader Bev Craig looked to the future of social value, with insight on the city’s plans for this tool to benefit the local community. Attendees also heard how social value is being used in large infrastructure projects such as London’s new giant Tideway sewer system, and helping drive positive impact for organisations from Liverpool Football Club to National Highways. It was made abundantly clear throughout the day that, when used effectively, social value can be transformative. It can create thousands of employment and training opportunities, unlock billions of investment in new low carbon products, and generate millions for reinvestment in vital infrastructure to benefit people and planet. However, while this agenda has made significant progress since the passing of the Social Value Act over a decade ago, our discussions through the day and the new research we presented also show there is still much more work to do before the full potential of this pioneering approach is truly realised. Launched at the Summit, ‘the state of social value in public sector spending’ showed that while local authority engagement has increased since we last ran this research exercise in 2016, many still never even apply social value. With council budgets squeezed and services at breaking point, a social value approach to ensure commissioning and procurement benefits local communities is needed more than ever – but unfortunately a lack of clarity and consistency across the country means this opportunity is often missed. CLICK HERE TO READ THE REPORT With a General Election on the horizon, Summit attendees discussed not only what changes are needed over the next decade but specifically in the next Parliament to better support our growing movement. If we are to achieve the goals on our Social Value 2032 Roadmap, it’s vital that we continue pushing for better and more complete implementation of the Act.  The Social Value Leaders’ Summit forms part of our ongoing Social Value 2032 programme. This ambitious work delivered in partnership with PwC and Jacobs looks to put social value at the heart of commissioning and procurement, maximising the positive impact of every pound spent. If you’d like to get involved, please email jennifer.exon@socialenterprise.org.uk

NOAH Enterprise is a charity supporting people struggling against homelessness and exclusion, with services across Bedfordshire working to find and help people with nowhere else to turn. Founded in the late 1980s by a nun, Sister Eileen O’Mahoney, the charity initially operated out of a block of condemned flats but has since grown significantly in scale and impact. NOAH now includes an outreach service to help people off the street, work experience and skills training to get people into employment, and social enterprise shops to raise money for the cause. Its welfare centre also offers warm meals, medical and dental care, accommodation support, clothing and laundry facilities, immigration advice and much more. In the last year, NOAH has supported 1,038 people at the welfare centre and 466 people on the streets, as well as helping 284 people into accommodation and 20 people into employment. How does NOAH work with government departments? NOAH’s primary work with central government departments is with the Department for Levelling Up, Housing and Communities (DLUHC) for which it delivers street outreach services under the Government’s Rough Sleeping Initiative. Winning this contract has allowed NOAH to expand this element of its work into central Bedfordshire and central Luton. NOAH has also worked on contracts with the Home Office to provide EUSS advice and, outside of central government commissioned services, is also working on a pioneering hospital discharge project with Bedfordshire Hospitals NHS Foundation Trust. How did NOAH succeed in winning the contract? Paul Prosser, Head of Welfare Services at NOAH, believes that core to the charity winning this DLUHC contract was its proven track record of transforming lives. The way NOAH operates means that they can “build trust, get to know people and work with them to create bespoke solutions”. Being an independent provider also has its advantages, as people are more likely to seek support from organisations they have a personal relationship with than bodies like the local council who they may have had a negative experience with. NOAH’s broader holistic support offer was another contributing factor in its DLUHC bid success, as people helped through the street outreach programme can also access the wider services provided by its Welfare Centre. Whilst the centre is not statutorily funded, the ability to co-locate services around a central hub adds value to the contract. When the service was put out to tender, NOAH’s application included a supporting letter from the local authority highlighting the charity’s expertise. What were the benefits to DLUHC of working with you? NOAH brings additional value to the contract through its commitment to impact and its proximity to the frontline. The charity’s years of being embedded in the local area mean that the community really believes in its work, meaning that the charity can work with volunteers who are passionate about delivering on its mission whilst also keeping down costs. Paul believes that commissioners now have a “greater risk appetite for embedding lived experience”, a core tenet of many VCSEs, which can be lacking in local authorities and private sector providers, who are driven by minimising costs and maximising shareholder value. What were the main challenges in applying for government contracts? Although NOAH’s experience applying for the DLUHC contract was a positive one, Paul states that when applying for government contracts there can generally be difficulties in understanding what is being prioritised. He highlighted the tension between showing innovation as a provider without scaring the commissioner, stating that “it can be a little unclear as to how much innovation to try compared to how much risk the funder is trying to take”. Other challenges include “trying to clarify why we are the most appropriate provider”, as well as complicated portals adding delay and difficulty to the application process, with VCSEs sometimes having to pay external fundraising consultants for support. Based on a conversation with Paul Prosser, Head of Welfare Services at NOAH Enterprises noahenterprise.org

The Nelson Trust is a charity set up to support people with complex needs ranging from trauma and addiction to experiences with the criminal justice system. It has provided residential addiction rehabilitation support since 1985 - but in the mid-2000s it emerged that women in treatment centres weren’t having as good outcomes as men, leading the charity to look into their specific needs and establish a new trauma-informed gender responsive service with an all-female staff team. At the same time, a review into the female prison estate by Baroness Corston[1] found that women should be rehabilitated in the community as they tended to be serving short sentences for non-violent crimes. This enabled the Nelson Trust to win funding that led to it now running seven women’s centres across the South West and Wales. How does the Nelson Trust work with central government departments? On opening the first women’s centre, most of the Trust’s income was derived through grants, but in recent years the charity has moved into public sector tendering. The main central government department the Nelson Trust works with is the Ministry of Justice (MoJ) and, through them, His Majesty’s Prison and Probation Service. The charity has also received money from the Home Office. What kind of work does the charity do with central government? In 2022, the Nelson Trust led a partnership bid with nine other organisations to work on a prison leavers pilot for a contract created by the MoJ, based at Eastwood Park in South Gloucestershire. There were no specific delivery terms, other than improving outcomes for prison leavers so the charity could use its creativity and years of experience to create an innovative way of meeting the contract. It saw that services to support women both in prison and on release were fragmented; for example, – women from Wales serving time at Eastwood Park receive NHS England care but aren’t entitled to some ‘through the gate’ services (such as ‘reconnect’ which supports prison leavers access health care services) that they would be if they lived in England, as justice is centrally funded but health is devolved across the Home Nations. It also noticed a lack of integration meant women often had to share trauma-inducing stories repeatedly to different organisations, and so wanted to join up the system. As Christina Line, Chief Operating Officer at the Nelson Trust, states: “One woman told us she’d been asked if she was pregnant nine times through her induction into the prison. We wanted to co-ordinate a package of support so that a woman has one lead keyworker, has to tell her story once, has one assessment, we all work from one case management system and we broker in the other support services as she needs them.” The Nelson Trust led the work in partnership with other organisations including housing providers, organisations supporting women to re-unite and maintain ties with their children, a substance misuse specialist, and a domestic violence support provider. Prison officers also worked to bring women into the centre and aid systemic work within the prison for internal processes to be trauma-informed. Central to the whole project was one case management system, which all organisations could log into, preventing women having to tell their stories over and over again. This new system was funded as a pilot programme for 15 months and is currently being externally evaluated. Initial data from the project is showing that, as a result of this intervention, the rates of women going back into prison have significantly reduced. What were the benefits to the MoJ of delivering this contract? Christina Line believes that a core benefit of working with the Nelson Trust is the savings that such an approach to criminal justice and the wider system brings to the public purse. It costs the government around £1,500[2] to rehabilitate a woman through the Nelson Trust, but the cost of sending someone to prison is around £46,696 a year.[3] The way the charity is set up means that “we don’t close the door on women, and our support will continue long after the MoJ have finished paying”. The holistic help provided - from supporting people out of addiction and disadvantage to support finding work - also means that they are reducing costs in other ways, such as welfare benefits or ambulance and police call-outs. Christina says the voluntary, community and social enterprise sector (VCSE) is markedly different from larger profit-driven service providers in its dedication to “get on with the job”, explaining that “people work because they want to make an impact”. What are the main challenges in applying for government contracts? One of the main challenges identified by the Nelson Trust is the lack of capacity faced by many VCSEs, with some not having a dedicated business development team. This often means a lack of resources holds organisations back, even though they may be capable of effectively delivering contracts. There can also be challenges in the complexity of certain contracts, where “the level of detail required isn’t always commensurate with the financial contract”. Christina pointed out that contracts for women’s prison services worth around £100,000 can require the same level of detail as men’s prison services worth millions. Unless contracts are simpler, Christina believes that the whole contracting process can “tip the scales in favour of larger organisations”. Based on a conversation with Christina Line, Chief Operating Officer at the Nelson Trust nelsontrust.com [1] https://www.nicco.org.uk/directory-of-research/the-corston-report [2] What the Nelson Trust are paid on their contract annually [3] https://prisonreformtrust.org.uk/wp-content/uploads/2023/06/prison_the_facts_2023.pdf

The Nelson Trust is a charity set up to support people with complex needs ranging from trauma and addiction to experiences with the criminal justice system. It has provided residential addiction rehabilitation support since 1985 - but in the mid-2000s it emerged that women in treatment centres weren’t having as good outcomes as men, leading the charity to look into their specific needs and establish a new trauma-informed gender responsive service with an all-female staff team. At the same time, a review into the female prison estate by Baroness Corston[1] found that women should be rehabilitated in the community as they tended to be serving short sentences for non-violent crimes. This enabled the Nelson Trust to win funding that led to it now running seven women’s centres across the South West and Wales. How does the Nelson Trust work with central government departments? On opening the first women’s centre, most of the Trust’s income was derived through grants, but in recent years the charity has moved into public sector tendering. The main central government department the Nelson Trust works with is the Ministry of Justice (MoJ) and, through them, His Majesty’s Prison and Probation Service. The charity has also received money from the Home Office. What kind of work does the charity do with central government? In 2022, the Nelson Trust led a partnership bid with nine other organisations to work on a prison leavers pilot for a contract created by the MoJ, based at Eastwood Park in South Gloucestershire. There were no specific delivery terms, other than improving outcomes for prison leavers so the charity could use its creativity and years of experience to create an innovative way of meeting the contract. It saw that services to support women both in prison and on release were fragmented; for example, – women from Wales serving time at Eastwood Park receive NHS England care but aren’t entitled to some ‘through the gate’ services (such as ‘reconnect’ which supports prison leavers access health care services) that they would be if they lived in England, as justice is centrally funded but health is devolved across the Home Nations. It also noticed a lack of integration meant women often had to share trauma-inducing stories repeatedly to different organisations, and so wanted to join up the system. As Christina Line, Chief Operating Officer at the Nelson Trust, states: “One woman told us she’d been asked if she was pregnant nine times through her induction into the prison. We wanted to co-ordinate a package of support so that a woman has one lead keyworker, has to tell her story once, has one assessment, we all work from one case management system and we broker in the other support services as she needs them.” The Nelson Trust led the work in partnership with other organisations including housing providers, organisations supporting women to re-unite and maintain ties with their children, a substance misuse specialist, and a domestic violence support provider. Prison officers also worked to bring women into the centre and aid systemic work within the prison for internal processes to be trauma-informed. Central to the whole project was one case management system, which all organisations could log into, preventing women having to tell their stories over and over again. This new system was funded as a pilot programme for 15 months and is currently being externally evaluated. Initial data from the project is showing that, as a result of this intervention, the rates of women going back into prison have significantly reduced. What were the benefits to the MoJ of delivering this contract? Christina Line believes that a core benefit of working with the Nelson Trust is the savings that such an approach to criminal justice and the wider system brings to the public purse. It costs the government around £1,500[2] to rehabilitate a woman through the Nelson Trust, but the cost of sending someone to prison is around £46,696 a year.[3] The way the charity is set up means that “we don’t close the door on women, and our support will continue long after the MoJ have finished paying”. The holistic help provided - from supporting people out of addiction and disadvantage to support finding work - also means that they are reducing costs in other ways, such as welfare benefits or ambulance and police call-outs. Christina says the voluntary, community and social enterprise sector (VCSE) is markedly different from larger profit-driven service providers in its dedication to “get on with the job”, explaining that “people work because they want to make an impact”. What top tips do you have for VCSEs looking to work with government? Christina believes that initiatives such as the VCSE Contract Readiness Programme are “essential” to support organisations. She emphasised the importance of partnership working, especially opportunities to collaborate with larger organisations. The Nelson Trust also looked to build strong relationships with commissioning organisations, inviting the MoJ’s female offending policy team to its sites and offering feedback on strategy announcements. Based on a conversation with Christina Line, Chief Operating Officer at the Nelson Trust nelsontrust.com [1] https://www.nicco.org.uk/directory-of-research/the-corston-report [2] What the Nelson Trust are paid on their contract annually [3] https://prisonreformtrust.org.uk/wp-content/uploads/2023/06/prison_the_facts_2023.pdf

TCES National Online School – whose pupils have special educational needs, with many at risk of becoming ‘ghost children’ through missing out on school entirely - has been named as the first online special school to be accredited under the Department for Education’s new Online Education Accreditation Scheme (OEAS).  The clampdown scheme was launched in response to growing concern about the quality and safety of an unregulated and rapidly growing online education sector. In a blog post explaining the scheme, National Director of Education, Christopher Russell, has identified the risks as: ‘Anyone - qualified or not – could cobble together an unsafe platform, plan a few lessons, and start to charge fees to unsuspecting parents. That’s bad for children, bad for their parents, and it's also unfair for the good online providers that are proud of their work and welcome independent oversight.’ A two-day inspection, during which inspectors spoke to children, parents and the Local Authorities who fund TCES National Online School places, concluded that the school had met all OEAS quality standards: ‘Led by the proprietor, leaders and staff are driven by a strong moral purpose to improve children’s academic and pastoral outcomes. They expertly intertwine education and therapy, working tirelessly to identify, reduce, and often, eliminate the barriers to learning children have faced.’  ‘In line with TCES’ other schools and services, TCES National Online School provides for pupils’ holistic development through a five-part curriculum: academic and vocational, enrichment, engagement, therapeutic and pupil leadership. The curriculum is designed to meet pupils’ educational, therapeutic and SEMH needs and is mapped against the targets in pupils’ EHC plans. When joining the provider, pupils are enrolled as full-time learners, with timetables specific to their needs. As they develop trust in their tutors and build in confidence, pupils access an increasing range of learning opportunities.’ Welcoming the first-of-its-kind quality mark, TCES Founder and CEO Thomas Keaney says:   ‘Being the first online special school to achieve the Department for Education’s quality mark is a huge achievement for my team. It proves that we’re doing what we set out to; provide a first-class, well-rounded education for children with special needs, anxiety and other challenges that make it impossible for them to attend school in person.   ‘Just as importantly the quality mark provides vital reassurance for families and Local Authorities. Now they can look for an online provider with the OEAS quality mark and know that we meet the standards demanded by the Department for Education.’ 10-year-old Daniel has a diagnosis of autism and ADHD and has been studying with TCES National Online School since May 2023. Prior to joining TCES, Daniel’s attendance at his mainstream primary school had fallen to around 50% and getting him into school had become increasingly difficult for his mum Louise, who says:  ‘I used to dread waking up in the morning to get Daniel into school. Sometimes I couldn’t get him there until midday or 1pm.  I felt like I was failing as a mum because he was suffering so much. I want him to have an education, but not at the expense of his mental health. Daniel could certainly have become one of the so-called ‘ghost children’ without TCES National Online School. His school said they couldn’t meet his needs, I would have had to take him out and maybe try home-schooling, but I don’t have any training in that area. Everything could have become very, very difficult for us both. Since he’s been with TCES, I’ve seen Daniel thrive and be independent. He’s excited rather than stressed. He’s calmer, happier, he knows he’s in a safe environment and doesn’t feel threatened.’ TCES CEO Thomas Keaney continues: ‘Most TCES National Online School pupils have Education Health and Care Plans (EHCPs) owing to their medical diagnoses, special needs, or mental health challenges. Often, they are victims of a broken system which has seen them permanently excluded with no other school that will take them, or waiting years for a special school place in a sector where chronic underinvestment means that need far outstrips supply.  For these families, online school is not a lifestyle choice, a nice to have, it’s quite simply the only way that their complex and vulnerable children can access the education they are entitled to. With more than 36% of children with EHCPs persistently absent, and more than 3,000 reportedly waiting for a special school place, it’s high time we stopped thinking of attendance in a physical school as the only solution. Today is a first for the online education sector, and I hope it sends a clear message that online special education – be it interim or permanent – is a viable option for the future. Regulating the sector must be just the start of the journey for the Department for Education. Next it must consult, invest, and plan for the expansion of state-funded online special schools, rather than allow a two-tier online school system to open up where only those parents who can afford it get the specialist education their children deserve.’ About TCES TCES National Online School has been providing a full online curriculum and school experience to pupils since 2020. It is part of the family-owned, social enterprise group, The Complete Education Solution (TCES). TCES was set up in 1999 by founder and CEO Thomas Keaney whose authentic commitment to inclusion means that no child has ever been permanently excluded in the Group’s 24-year history, and there are no fixed term exclusions either.  Increasingly, pupils referred to TCES National Online School have been out of school for long periods, and at substantial risk of becoming ‘ghost children’ and/or being drawn into criminal and other forms of exploitation owing to a chronic lack of support for them and their families. Working to the same therapeutic education principles used in TCES bricks and mortar schools (rated Good with Outstanding features by Ofsted) TCES National Online School aims to prepare pupils to ‘step down’ into physical mainstream or special schools wherever possible. Pupils attend TCES National Online School for a minimum of six weeks, with the average placement lasting 28 weeks. However, pupils also attend for longer periods where appropriate. The OEAS inspection report confirms that ‘no pupils leaving the provider [TCES National Online School] become NEET’ (not in education, employment or training).

Our latest State of Social Enterprise report shows a growing sector that is not only profitable and productive but truly pioneering in its impact for people and planet. This year’s report titled ‘Mission Critical’ estimates that there are 131,000 social enterprises across the country, representing almost one in 42 of all UK businesses. Overall, the research shows a movement creating huge impact, despite complex challenges restricting its potential. Not only are social enterprises doing right by society and the environment, they are performing well in economic terms, with a collective turnover of approximately £78 billion or around 3.4% of GDP. Only 17% reported a decrease in turnover, compared with 30% of businesses as a whole. In the last financial year, social enterprises made £1.2 billion in profit, re-investing £1 billion to drive progress on their vital social and environmental missions. By comparison, FTSE 100 companies were on track to spend a record amount on share buy-backs, alongside nearly half of their expected net-profit of £170 billion going to paying dividends. Social enterprises are also major employers, creating jobs for around 2.3 million people, with 84% paying the real Living Wage. They are continuing to break down employment barriers around gender, race and class through workforce diversity; 22% of social enterprises operate in the most deprived areas of the UK, compared to 14% of wider businesses, while 58% have leadership teams that are at least half female and 43% have at least one leader from Black, Asian or Minority Ethnic backgrounds. As well as tackling social inequalities, social enterprises are actively addressing environmental issues, with almost a fifth fighting climate change as their core mission and 65% having a plan in place to reduce their greenhouse gas emissions. Given the growing crises in our natural world, we need to harness the power of social enterprise now more than ever. However, the report also showed that social enterprises are increasingly under strain, with complex economic barriers meaning that the full potential of this pioneering business model is not being realised. Beyond the general economic instability and uncertainty facing all businesses, many social enterprises struggle to access sufficient or suitable finance, and often report lacking the skills to obtain much-needed investment.   Commenting on the research findings, our chair Lord Victor Adebowale CBE said: “While social enterprises continue to start up and grow, despite the obstacles, the scale of our ambition should not be to keep things going. We cannot take for granted the sector’s ongoing contributions to our economy, our environment and wider society. Social enterprises are surviving but they should be thriving. “Given the sector’s impact despite present challenges, its potential in a more supportive ecosystem could be transformative.  ‘Business as usual’ isn’t working and this mission-led model must become the new normal. As we look ahead to a general election year, social enterprise solutions must be front and centre of a British economy that drives fair growth for all.” The State of Social Enterprise report, published every two years, is the most comprehensive piece of research looking at the key trends and issues affecting our movement. It will form the basis of our continued research and policy work, and is a key resource in raising the profile of our sector amongst decision makers. You can read the full report on our Social Enterprise Knowledge Centre, which houses all our research evidence: socialenterprise.org.uk/social-enterprise-knowledge-centre/the-state-of-social-enterprise If you’d like to contribute to future Social Enterprise UK research, please register to be part of the Social Enterprise Advisory Panel by emailing research@socialenterprise.org.uk

Thousands of young homeless people in London are to continue to benefit from a new state-of-the-art home following a seven-figure funding package from Unity Trust Bank. YMCA London City and North opened LandAid House, an ambitious 146-bed development in Errol Street, two years ago. With the new building complete, transitioning from development funding to a long-term financial product was the final step required to complete the project.   Thanks to Unity’s expertise and understanding of third sector organisations, a long-term debt solution was created which included a remortgage for the new premises and additional working capital for further housing programmes. Chris East, Director of Community and Enterprise at YMCA London City and North, said: “LandAid House was a £19.4m project started 14 years ago because the old building was no longer suitable for vulnerable young people. We created new ensuite bedrooms with lounges, kitchens and laundry facilities and it’s now a place where young people can get back their dignity and self-respect and experience being truly independent. “LandAid House will impact over 10,000 young people over its lifetime, so it was important that we found the right financial partner. The way this deal was structured secures LandAid House and gives us flexibility for the future and that’s a great place for us to be in. “Unity’s relationship manager Paul Kelly demonstrated a great ability to understand us as a client and a charity and to come up with a solution that met our financial needs and helped drive our vision for growth.“ YMCA London City and North serves seven of the capital’s boroughs with a combined population of 600,000. With pockets of affluent and deprived areas, the charity manages five sites which provide up to 400 bed spaces for young people. Each person referred to the YMCA is assigned a case worker and life skills coaching along with training and education to help them find employment. Paul Kelly, Relationship Manager at Unity Trust Bank, said: “The YMCA gives vulnerable and traumatised young people a safe place to live and the chance to rebuild their lives. “Being a Londoner myself, it was particularly rewarding to partner with an organisation that helps so many young people in the capital. “Unity’s mission is to do good through finance, and we are proud to work with organisations whose values are aligned with our own.” Gillian Bowen, Chief Executive YMCA London City and North, said: “The values of Unity resonate with our cause. They have been a consistent, understanding and an efficient partner, providing us with a flexible financial product that allows us to stay focused on our objectives to make life better for young people experiencing homelessness.” Paul Thornhill, Director of Thornhill Capital Ltd which introduced YMCA to Unity, said: "It has been a pleasure working with Paul Kelly and Unity. Paul did a wonderful job and developed a strong rapport with YMCA’s Board and Executive team. “Unity has provided a loan facility with very competitive terms which satisfies the requirements of YMCA London City and North. This is excellent news for all parties involved with this deal.” About Unity Trust Bank Unity Trust Bank is an award-winning, independent, commercial bank that uses banking to improve the lives of UK communities. Living by its principles of banking with integrity, Unity’s purpose is to help create a better society, not simply maximise profits. Operating for almost 40 years, it has supported like-minded organisations that share its values and address social, economic and environmental needs. With offices in Birmingham, Manchester and London, Unity offers a range of banking services, including current accounts, savings accounts and loans. Unity is a Real Living Wage employer, a Fair Tax Mark business, a Women In Finance Charter signatory, a member of the Banking Standards Board and currently holds the Investors in People Gold standard. Visit www.unity.co.uk for more information. You can also follow Unity Trust Bank on Twitter and Facebook, or go to its LinkedIn page.

New research published on Social Enterprise Day (16 November) shows that UK social enterprises created £1.2bn in profit over the last year, and re-invested £1bn to drive progress on their vital social and environmental missions* Social Enterprise Day is a global day recognising the huge contribution our sector makes to communities, the economy and the environment. Our latest research shows the power of social enterprise, not only socially and environmentally but economically, making a significant profit and then using this to benefit people and planet. In contrast, 2022 saw FTSE 100 companies hand out over £80bn in dividends against an expected net profit of £170bn, and spend a record amount buying back their own shares to increase their value.** Social enterprises show us a fundamentally different way of doing business – one where profits are used to support vulnerable communities and protect the natural world, not just handed out to shareholders while social inequalities deepen and the climate crisis grows. Commenting on the findings, our CEO Peter Holbrook said: “Social enterprise can all too often be overlooked in British business, but this new research demonstrates the immense impact of our innovative and resilient sector – not only boosting our hard-hit national economy, but supporting wider society and protecting the environment. “We face huge and complex challenges, but social enterprise can offer solutions. Business can and must work in a way that actively benefits people and planet, sharing profit and power to drive real progress on the most pressing issues of our time. With a general election approaching, I urge all our political party leaders to consider social enterprise as the future of business.” Social Enterprise Day is a chance to raise awareness of the brilliant work happening in our sector  and encourage support for our growing movement. Check out #SocialEnterpriseDay on social media to get involved and be inspired! * These figures are part of the State of Social Enterprise report, produced by Social Enterprise UK every other year, which provides the most comprehensive and representative analysis of national sector performance. The full report is in production and will be published on 6 December 2023. **www.ajbell.co.uk/sites/default/files/AJBYI_Q1-2022_Dividend_dashboard.pdf

As thousands of people prepare to attend Labour Party Conference, Social Enterprise UK has been working with its venue ACC Liverpool and catering contractors Sodexo to maximise the event’s positive impact by bringing social enterprises into its supply chain. 40% of conference suppliers are social enterprises, with plans to increase this further next year. All the coffee at the event will be supplied by social enterprises, and a quarter of the total catering spend is with social enterprises. Overall, event organisers estimate it will generate hundreds of thousands of pounds in social value through its diverse supply chain, including: Belu invest 100% of their profit in pursuit of their purpose: to change the way the world sees water and have given £5.8m to WaterAid. The water supplied to the conference will fuel their ‘Purpose P&L’ with £7,400.  Change Please coffee will enable hundreds of people experiencing homelessness to access housing, training and living wage jobs as baristas Half the Story biscuits will provide 75 hours of employment for homeless people Homebaked will generate £93,500 in social value by providing jobs, training, community engagement and regeneration in the local Anfield area – one of the most socioeconomically deprived regions of the UK Nemi Tea will help create stable work for refugees at TRAMPOLINE Café to support them on their upward journey Spare Snacks will keep conference attendees fed using thousands of ‘wonky’ or surplus apples that would otherwise be wasted Fruitful Office, to help local communities and address deforestation. This event coincides with Liverpool winning formal recognition as a Social Enterprise City, which means it’s a hotspot for purpose-led business with a clear plan to support this growing strength in its local economy. Liverpool is the 36th accredited Social Enterprise Place in the UK, ranging from small towns to whole counties united in dedication to mission-led business. As the first time a political party conference has made such a significant financial investment in its wider social and environmental impact, event organisers encourage others to follow suit. There’s a growing trend in public and private sector procurement to ‘buy social’, supported by the Public Services Act (2012), but understanding and implementation still varies widely across the country. Jonathan Reynolds MP, shadow Secretary of State for business, energy and industrial strategy, commented: “Labour backs small businesses and our Annual Conference is a great opportunity to champion the good business practice we see here in the UK. Labour supports businesses of all sizes, and it is fantastic to see the growing social enterprise market showcased here in Liverpool. Labour knows the value of business to communities and our economy that's why we will give firms of all sizes the strong economic foundations they need to prosper.” Peter Holbrook CBE, chief executive of national sector body Social Enterprise UK, added: “It’s great to see the Labour Party recognising the value of social enterprise in our economy, transitioning its annual conference to do less harm and create more benefit for people and planet. Integrating social enterprises into the conference’s supply chain gives a glimpse of how business can be done better, and how we can build an economy where all of society profits – so we hope other major events take inspiration from this and follow suit.” Rebecca Kane Burton, CEO Sodexo Live! UK & Ireland, said: “Social impact is at the beating heart of Sodexo; it’s a core value upon which our founder Pierre Bellon built the business back in 1966. Working with the Labour Party and the ACC Liverpool Group therefore provides the ideal backdrop to showcase the social enterprises and diverse supply chain we partner with. “For many years we have welcomed SMEs and VCSEs into our business, and worked to reduce our impact on the environment and create social impact. We also continue to partner with local colleges and other organisations to offer career opportunities to individuals struggling to find employment for whatever reason. I am delighted our team is able to play its part in connecting with and benefiting the communities we serve.” Faye Dyer, chief executive of The ACC Liverpool Group, concluded: “Social value is at the heart of The ACC Liverpool Group and we are delighted to work with Sodexo Live! and the Labour Party to further our shared values and commitments. The Labour Party conference provides us all with a valuable platform to showcase these important organisations and their initiatives, which are making a real positive difference.”

Social enterprises, by their very nature, have social change embedded into their mission statement. This presents a clear opportunity to address issues of racial, cultural and professional inequality through the lens of business.  We spoke to Black women inspiring change through their purpose-led approach, highlighting this Black History Month’s apt theme “saluting our sisters”.  Soul Purpose 360 Soul Purpose 360 is a Black women's empowerment social enterprise, tackling patterns of discrimination by offering personal and community development services to members and clients including housing associations, local authorities and health agencies. Founder and Director Palma Black said: “Soul Purpose 360 is a democratically run, Black women-led social business blending community and personal development. “Our raison d' être is to help Black women to build confidence, and support them to contribute to community life.  Being the most oppressed group in society, the social enterprise legal form gives us freedom and flexibility to determine what is right for us.” Find out more about Soul Purpose 360’s work Equality 4 Black Nurses This nurse-led social enterprise’s aim is to bring about positive change by lobbying employers and government to reduce and eradicate racial discrimination in the healthcare sector. Founder and CEO Neomi Bennett said: “Being a Black social enterprise is a commitment to positive change, social justice, and a belief in the power of collective action. “It means harnessing the power of business and activism to advance economic, social, and racial justice within the healthcare industry. We are committed to empowering Black nurses, eliminating systemic barriers and promoting equitable healthcare.” Find out more about Equality 4 Black Nurses’ work Earth Sea Love Earth Sea Love provides opportunities in nature for People of Colour in north-east England. It also offers anti-racism training and education to individuals, groups and organisations within the natural environment, where difficult and challenging conversations can happen with more ease and real growth and understanding develops. Director Dr Sheree Mack said: “We have worked with National Parks, Wildlife Trusts, the National Trust and Forestry England, bringing initiative, creative projects to the North-East countryside. We are proud to say that these trailblazing programmes have been Black-led. “Within the environmental, conservationist, outdoors sector - which is predominantly white - being a Black-led social enterprise means we can enter these spaces and be legitimately recognised as not just ‘taking up space’ but leading the way in making sure that the British countryside is welcoming to all.”  Find out more about Earth Sea Love’s work

We’ve been running our Buy Social Corporate Challenge since 2016, supporting big companies across business sectors to bring social enterprises into their supply chains. Our latest annual report shows the Challenge had the most successful year ever, as our 30 corporate partners spent £99 million with social enterprise suppliers. In total, more than £350million has been spent with social enterprises in the seven years of the programme. The premise of the Challenge is simple: working with corporates to use their core business spend to create positive social and environmental impact. And that impact speaks for itself; supplying Challenge partners has enabled social enterprises to reinvest nearly £32m in their missions. Around 3,400 social enterprise jobs have been created thanks to contracts won through the Challenge, with 860 social enterprises supplying Challenge partners last year alone. The number of social enterprises involved in the Challenge rose 43 per cent in the last year, showing the rising interest in social procurement.   Peter Holbrook CBE, Chief Executive of Social Enterprise UK, said: “The world of procurement is changing. Companies big and small need to consider how they impact people and planet, and make sure they actively work in a way that benefits communities and helps tackle environmental concerns. With nearly £100 million spent on businesses doing just that in the last year, this evidence shows the global cross-sector appetite for unlocking social value in everyday organisational spend is incredibly strong.” Click here to read the Buy Social Corporate Challenge Year 7 Impact Report The Buy Social Corporate Challenge partners are Amey, AstraZeneca, AXA, Barclays, CBRE, Co-op, Compass/Foodbuy, Deloitte, Equans, John Sisk & Son Ltd, Johnson & Johnson, KPMG, Landmarc Support Services, Lendlease, Linklaters, LV=, Mitie, Motorola Solutions, Nationwide, Nestle, NFU Mutual, PwC, Robertson Group, SAP, Siemens, Sodexo, The Crown Estate, Wates Group, Willmott Dixon, and Zurich Insurance Group. Social Procurement Connect We aren’t currently recruiting partners for the Corporate Challenge, but our Social Procurement Connect service can support organisations of any size and sector to bring social enterprises into their supply chains. Find out more about Social Procurement Connect and get involved here.

Social Enterprise UK (SEUK) and representative bodies from across the healthcare sector have written to the Heath Secretary reiterating the need for central funding to ensure the new NHS pay deal includes the many social enterprise staff delivering NHS services. A crucial part of the NHS family, social enterprises deliver over £1bn of services and employ many thousands of staff while reinvesting any profits in communities. Despite this huge contribution, the Government has not included social enterprises in a new NHS ‘backlog bonus’ being awarded to recognise the intense pressures on these vital staff. Earlier this year, the Health Secretary promised a pay uplift for “all staff” on ‘Agenda for Change’ contracts – but his Department has still not found this money for those working in social enterprises under the same contractual terms and conditions. Without central funding to cover the uplift, thousands of social enterprise healthcare providers around the country will struggle to retain staff and sustain critical services.  This week’s letter builds on SEUK’s campaigning alongside healthcare members for Government funding to include social enterprises in the NHS pay deal. The letter warns the Health Secretary that he risks “treating many thousands of staff unfairly when they are just as skilled, committed and essential to the provision of NHS services as those employed by other providers”, creating “inequity of services and a two-tier healthcare workforce”. SEUK signed the letter alongside the British Dietetic Association, the Chartered Society of Physiotherapy, the Royal College of Midwives, the Royal College of Nursing, the Royal College of Podiatry, UNISON and UNITE. Peter Holbrook CBE, chief executive of Social Enterprise UK, commented: “We expect the Department of Health to take urgent steps to solve this - as they did previously in 2018 - before staff, services and patients are adversely affected. The Government must deliver on the Health Secretary’s words.” Click here to read the full letter If you agree that social enterprises delivering vital NHS services should be included in the new pay deal, please sign this petition and join over 17,000 of us calling for urgent Government action.

Welcome to the Public Services Hub. This page is intended to support public sector professionals to understand why and how to engage with voluntary, community and social enterprises (VCSEs). The VCSE sector’s expertise and commitment to purpose make them natural commercial partners for government and well placed to deliver effective public services. What is the VCSE Sector? Government uses the term voluntary, community and social enterprise (VCSE) sector to refer to the charity and social enterprise sectors. Most people are familiar with the charity sector, and aware of its long history working with and delivering on behalf of government. Many will be less familiar with social enterprises. Social enterprises are businesses which trade for a social or environmental purpose. To be a social enterprise, the organisation should: have a clear social or environmental mission set out in its governing documents and be controlled in the interest of that mission. be independent of state or government control, and earn more than half of its income through trading re-invest or donate at least half of its profits or surpluses towards their mission There are more than 168,000[1] registered charities in England and Wales, contributing £15.6 billion[2] to the economy and employing around 1 million[3] people - 3% of the UK workforce. There are an estimated 131,000 social enterprises in the UK, employing an estimated £1.9 million people.[4] Social Enterprise UK estimate social enterprises contribute £60 billion to the economy.[5] Why work with VCSEs? Working with VCSEs has many benefits for government. In terms of policy alignment, VCSEs are the ideal partner to government in a number of key areas: Levelling Up. Over 75% of VCSEs deliver public services where they are based, with strong links to and knowledge of that locality.[6] Their expertise and connection to local areas ideally place them to create responsive, efficient and trusted public services. Social Value Act. The Public Services (Social Value) Act 2012 aims to improve procurement practice and diversify suppliers to the government, enabling more VCSEs to deliver public services. It requires public service commissioners to consider how they can secure wider social, economic and environmental benefits, known as social value, through the performance of a contract. Government extended the Social Value Act by launching the Social Value Model, placing new requirements on central government from January 2021 onwards to explicitly evaluate social value and thereby further encourage the commissioning of VCSEs. SMEs. Government is committed to supporting small and medium enterprises (SMEs) via government procurement. The majority of VCSEs are also SMEs[7] – so working with them helps support those targets as well. Are they competitive? Government is committed to delivering social value and increasing opportunities for VCSEs in public procurement. Working with VCSE suppliers is a win-win for government, with VCSEs also providing competitive, innovative and high quality services in spite of the common misconception that they will be less competitive. According to SEUK’s research on the £250m spent to date by our corporate supply chain partners, over 80% found VCSEs were competitive on price and over 95% were comparable or better quality than incumbent providers.[8] VCSEs can also bring innovation to government delivery. The government’s Social Enterprise Market Trends Report 2019 found that social enterprises were more likely to have introduced a new or significantly improved service during the past three years.[9] Development of new products and services is the proxy used by government to measure innovation. VCSEs deliver differently, and this can help to bring new solutions to government. What sectors do they operate in? VCSEs operate in a variety of sectors. They are well known to operate in ‘people-services’ sectors such as health and social care, employability, homelessness, disability and domestic violence and sexual abuse support services. However, charities and social enterprises also operate in every other area of the business sector from technology to legal services. Resources for Commissioners VCSE Contract Readiness Programme Delivered by the School for Social Entrepreneurs (SSE), Social Enterprise UK (SEUK) and Voice4Change England, and funded by the Department for Culture, Media and Sport (DCMS) – the VCSE Contract Readiness Programme is designed to work with both VCSEs and public sector commissioners. Social Enterprise UK are leading on the commissioner stream of the programme. This will involve working with central government departments to make it easier for government to engage with VCSE suppliers.  This will include working with central government departments to: Benchmark departmental spend with VCSEs by using SEUK and open-source datasets to help departments understand how much they’re spending with VCSEs and how they can do more Engaging staff through a series of “Demystifying the VCSE sector” webinars Driving new relationships through a series of targeted “meet the buyer” events working with relevant VCSE suppliers for specific departmental/category level spend SEUK are working closely with DCMS to drive all of the above activity with the relevant areas of government. If you work for a department and would like to engage with the programme or find out more please email the DCMS public sector commissioning team on public-sector-commissioning-team@dcms.gov.uk. Commissioning for Social Value The Public Services (Social Value) Act requires people who commission public services to think about how they can also secure wider social, economic and environmental benefits, known as social value, through a contract. The Social Value Model – In 2018 government announced it would go further and explicitly evaluate social value when awarding most major contracts with all departments expected to report on the social impact of their major contracts. The Social Value Model helps government departments implement the changes. It provides a consistent approach to social value for both commissioners and suppliers. More details on how this works can be found in Procurement Policy Notice 06/20 (PPN 06/20) Guides and other online resources The art of the possible in public procurement  - This report published by E3M looks at the Public Contracts Regulations 2015 and the flexibility it provides commissioners. It goes through how commissioners can unlock these flexibilities, highlighting the art of what is possible in public procurement. From procurement to partnership: A practical toolkit for commissioners - This step by step guide from E3M has been created to help commissioners maximise positive social outcomes and public value through the creation of effective public service community partnerships. Local Authority Guide – A guide created by Social Enterprise UK and supported by GLL is for people working in local authorities who are interested in social enterprise: council leaders, senior managers, directors of services, commissioners, heads of procurement, or those with responsibility for economic development. It explains what social enterprise is, how social enterprises can help meet a local authority’s strategic objectives, and gives practical advice on how local authorities can best work with them Government Outcomes Lab outcomes toolkit - for commissioners considering using outcomes based commissioning in their work with VCSE partners. Research The role of Voluntary, Community and Social Enterprise (VCSE) organisations in public procurement (August 2022) – This publication from the Department for Digital, Culture, Media and Sport (DCMS) explores the role which VCSEs can play in public services. It looks at VCSEs current participation in public procurement, the barriers faced by VCSEs in securing public sector contracts and how these can be reduced. UK Public Procurement through VCSEs, 2016-2020 – DCMS research carried out by Tussell to analyse the scale and proportion of UK public sector procurement conducted through VCSEs from 2016 through to 2020. Creating a social value economy (May 2022) – This report sets out a new vision for social value and how it can be used as a tool to shape markets, transform public services and create an environmentally sustainable future. This was published as part of the Social Value 2032 Programme, a programme of work delivered by SEUK in partnership with Jacobs, PwC, Shaw Trust, Siemens and Suez. Social Enterprises Market Tends Report (April 2021) – DCMS coordinates government policy towards social enterprises and commissioned this report. It examines the sector and identifies its scale in the UK, utilising a broad DCMS definition which includes both social enterprises within the voluntary and community sector and also social enterprises operating as mission-led or purposeful businesses with private sector legal forms. Front and Centre report (May 2019) – The report focuses on the extent to which social valuehas been embedded through processes and priorities within government. It particularlylooked at the understanding and awareness of the Act in local government among officers andcouncillors outside of procurement teams and examined the appetite to use the Act. Find suppliers The Social Enterprise Directory – A directory of all social enterprises which are members of Social Enterprise UK. Upcoming Changes to working with VCSEs The Procurement Act will come into force during 2024 and is set to reform the UK’s public procurement regime post-Brexit. Provisions within the Bill will more effectively open up public procurement to VCSEs so that they can compete for and win more public contracts. Further detail on the Bill is available at the Transforming Public Procurement landing page. [1] Charity Commission, as of 17th February 2022 [2] DCMS Sectors Economic Estimates, Summed Monthly GVA (to September 2022) [3] DCMS Sectors Economic Estimates, Employment July 2021-Jun 2022 [4] DCMS BEIS Social Market Trends report, April 2019 [5] The Hidden Revolution - SEUK, 2018 [6] Tussell Trust Research for DCMS, UK Public Procurement through VCSEs 2016-2020, 2021. [7] State of Social Enterprise report 2023 and Charity Commission 2023 [8] Buy Social Corporate Challenge Year 6 Impact Report, SEUK, 2022 [9] DCMS BEIS Social Market Trends report, April 2019

Social Enterprise UK has today launched the Social Enterprise Knowledge Centre – which aims to be a world-class source of evidence and insights on social enterprise. For more than a decade, our data and evidence has been the foundation of much of the research on social enterprise in the UK. Information collected by us on social enterprise activity drives understanding, awareness and progress. It informs public policy, from the creation of Better Society Capital (formerly Big Society Capital) and Access – The Foundation for Social Investment, to the Social Value Act and the development of public service mutuals, as well as the recent Adebowale Commission on Social Investment. The new Knowledge Centre brings together evidence compiled by us with wider sources of data, to make the UK’s most comprehensive source of information about social enterprise. It houses qualitative and quantitative information and will produce evidence for a range of audiences exploring key thematic areas of interest for social enterprises and their support ecosystem. Working in partnership with social investors, foundations, government, support organisations, academia and social enterprises, the Knowledge Centre will produce a wide range of reports and insight to promote understanding and inform positive change. Click here to visit the knowledge centre The Knowledge Centre is the home of our State of Social Enterprise Reports – our flagship piece of research looking in depth at the UK social enterprise community. Published every two years the report highlights key trends in the social enterprise sector. It also houses our quarterly Barometer reports which give a snapshot of social enterprise performance as well as how specific economic and political developments are affecting social enterprises. The Social Enterprise Knowledge Centre is supported by Access – The Foundation for Social Investment. Social Investment Business and Better Society Capital.

SEUK is campaigning in support of the Community Enterprise Growth Plan – a plan which will support social enterprises get access to the suitable and affordable finance they need to develop and grow. We’re calling on all social enterprises to support the campaign by writing to their MP using our simple template letter and online portal. The letter asks MPs themselves to write to the Secretary of State for Digital, Culture, Media and Sport to ask the Government to invest dormant assets in social enterprises and community businesses through the Community Enterprise Growth Plan. Click here to contact your MP The Community Enterprise Growth Plan is part of a wider campaign to direct dormant assets towards social enterprises. Dormant assets are financial products, such as bank accounts, which have not been used for many years and which have proven to be impossible to reunite with their owners. Over the next decade the value of these assets could be worth as much as £700 million and we’re calling for these to be used to help drive more inclusive access to social investment, to reform the market and ensure social enterprises are able to access the finance they need. We are campaigning for this money to be invested into social enterprises and supporting communities develop stronger local economies. You can find out more  in this blog by SEUK’s Director of External Affairs, Andrew O’Brien. Please do take 5 mins to send our template letter to your MP. All you need to do is enter your postcode and our campaign tool will do the rest! Click here to take action We need to put social enterprise front and centre of the minds of political decision makers – as a way to help level up the country, to reduce inequalities in health and opportunity, and as a means to grow a more inclusive economy. Contacting your MP will help raise the profile of your work and the work of the broader social enterprise community as well as giving them a concrete action to take to Government calling for better support for the sector. If you write to you MP and they get back to you please contact Andrew with the response andrew.obrien@socialenterprise.org.uk

Social enterprises are more representative of wider society than traditional businesses with 14% being led by someone from a Black, Asian or other minority ethnic community, compared to just 8% of SMEs.[1] This Black History Month we are spotlighting Black-led social enterprises which are breaking down barriers, creating opportunities and transforming lives. The Blair Project Set up by brothers Nile and Blair Henry when they were just teenagers, The Blair Project is a Manchester based social enterprise on a mission to diversify the STEM workforce and accelerate the transition to net zero through sustainable motorsport. The business aims to provide opportunities to young people so that they can participate in the green tech revolution through building, racing and accelerating innovations in electric go-karts. Combining fun with learning, the Blair Project has helped build confidence and open up new possibilities for the young people it works with. One of the social enterprises’ main programmes is the ProtoEV Challenge which works with young people aged 10-19. The Challenge sees teams work together to convert used petrol go-karts into electric e-karts giving participants knowledge in topics such as physics, IT, design and branding as well as technical skills in areas such as 3D printing, battery technologies and electronic controls. Diversity and inclusion are core to the Project’s work and programmes are specifically set up to target young people who have low awareness of jobs in STEM with a real focus on supporting young Black and Asian youth, women and working-class talent from all backgrounds. So far the business has worked with over 560 young people. 95% of participants who complete the ProtoEV programme have found jobs, apprenticeships or moved into further education. theblairproject.org Generation Success Founded after the London Riots in 2011 by social entrepreneur James Adeleke, Generation Success was created with the aim of countering the “lost generation” narrative which characterised much of the media coverage of the events. The company aims to give people from poorer communities access to the same opportunities open to the wealthy or as James phrases it to: “create a world where your career opportunities are not determined by your birth”. The social enterprise is dedicated to social mobility, running a series of programmes specifically focused on young people from minority and low-income backgrounds. These include mentoring, networking events, training and job opportunities designed to allow businesses to connect with people from diverse backgrounds. Generation Success now has partnerships with 70 employers including big businesses like PwC, SAP and BT and even the BBC. Through working in partnership with businesses, Generation Success has been able to work with organisations to help transform their recruitment practices and open up access to a pool of talent that is overlooked. James’ work has received several accolades, including earning a place on the NatWest SE100 Index, and winning the Entrepreneur of Excellence Award in the National Diversity Awards 2022. Generation Success’s work has been transformative. The social enterprise now has a network of over 10,000 young people, 70% of whom are from disadvantaged and/or ethnic minority backgrounds. It recently launched a programme in partnership with other organisations to increase diversity in the sustainability sector which currently is only made up of an estimated 3.1% of professionals from a ethnic minority background. generation-success.com Rising Star Property Solutions La’Toyah Lewis came up with the idea of setting up a business to give people a second chance when her personal circumstances led to it being difficult for her to find work. Her own lived experience meant she was keenly aware of how poverty and lack of opportunity are  barriers to employment, and it was this that inspired her to set up Rising Star Property Solutions. Rising Stars is a social enterprise property service company dedicated to supporting disadvantaged groups including ex-offenders, people with mental health issues, single parents and those experiencing long-term unemployment. It has now grown to become the third largest property service company in the Midlands, managing a portfolio of over 60,000 properties. Unlike other property service businesses, Rising Stars is “social value and people-led” with a mission to provide work experience, training and employment opportunities to disadvantaged groups. The business primarily works with the social housing sector offering four main services – cleaning, clearance, gardening and construction. All of its money is earned through trading and profit is put back into training, employing and supporting more people. risingstarpropertysolutions.com [1] https://www.socialenterprise.org.uk/seuk-report/no-going-back-state-of-social-enterprise-survey-2021/

Keen observers of social media will have noticed that Social Enterprise UK attended the Conservative Party Conference this year, one that will live long in the memory for the news and content it generated. As with Labour, we were there to understand the future direction of policy and to raise awareness of the social enterprise sector. Social enterprise and levelling up Away from the headlines, there were some positive references to social enterprise and recognition of the value of the sector. On Sunday, the New Social Covenant Unit launched a new paper called “Social Capitalism” (covered in the Times and on Radio 4), authored by 12 Conservative MPs.   The paper made the case for investing in our social infrastructure, the local institutions that make up our communities, and treating it as seriously as our physical infrastructure (roads, railways, broadband). The paper made numerous references to social enterprises from the importance of social enterprises in maintaining this social infrastructure to social enterprises delivering public services in a way that listens and works with communities creating stronger bonds between people. This will require investment in the sector, reform to the way that we deliver public services and greater support for communities to develop social enterprise solutions. The paper was launched by the former Levelling Up Secretary Michael Gove and Dehenna Davison, the new Minister for Levelling Up, who both endorsed the vision outlined in the paper. We will be taking this forward to see if warm words can be turned into strong action to support social enterprises and realise their potential to level up the country. There were also positive references to social enterprises at a number of different events, particularly those organised by the sector such as those from Social Investment Business and Big Society Capital. Overall, there was a sense at conference that “enterprise” was the way to help communities to level up – although without a clear sense of what government was doing to stimulate this enterprise. No plan for growth or public services The centre piece of the conference was “growth” and how the government was going to deliver growth. It is clear that accelerating the growth of GDP is going to be the central focus of the government. The problem is that there is simply no plan to deliver it beyond tax cuts. Social enterprise is one of the fastest growing forms of business in the country, yet the ideological view from No.10 is that the business of business must only be business. There is no recognition that alternative approaches putting social and environmental purpose first could drive faster growth and generate greater resilience through encouraging long term investment in people and places. The main positive of the Mini-Budget and its fall out is that the shallowness of the position on tax cuts has encouraged politicians and the media to think more broadly. If tax cuts won’t work, what will improve our economy? The fact that noted economist, Kate Raworth, was invited to speak on Radio 4 in the wake of the Prime Minister’s speech is a recognition in the media that we need a national conversation on what drives growth beyond tax cuts and deregulation. Social enterprises will need to fight to be heard but for the first time in a while, a genuine debate is emerging. The other concerning area is public services. Under the radar of conference, the government announced that departmental budgets would not see their funding increase by inflation. Effectively that is a cut of £18bn for government departments and these savings will be passed through the system, with public services and welfare budgets likely to come under severe strain. Schools and hospitals alone are estimated to have to find £11bn in “efficiency savings” to make up for rising prices. Given the state of public services after a decade of austerity and the impact of COVID, this feels untenable. Backbench Conservative MPs were clearly worried about the impact of further cuts to spending and once Ministers face the reality of these spending reductions, some form of rebellion feels likely. However, the embattled state of the government means that there is no guarantee that this policy will be changed. Social enterprises delivering public services should plan for a difficult two years ahead. A tale of two parties The overriding sense of this conference was a party divided. On the one hand, those that have a more holistic view of society and the economy are concerned that this government is heading in the wrong direction. On the other hand, those that want to see government get out of the way and cut taxes for business feel that they simply need to stay the course. Their plan will work, if it is given time. In the middle are a lot of MPs and activists who do not know what to think. Who will win out in this battle, it is hard to say. Either way, Social Enterprise UK will keep engaging with politicians on all sides to recognise the value and importance of social enterprise for our future. The fastest way to grow our economy and have high quality public services is to grow social enterprise. By Andrew O'Brien - Director of External Affairs at Social Enterprise UK

This week the Labour Party gathered in Liverpool to mobilise its supporters, discuss policy ideas and develop their pitch to voters. It isn’t a secret that the mood in the Labour Party was very confident with events in the City and the financial markets only strengthening the sense within Labour that they could be on the cusp of returning to government. But what would a Labour Government mean for social enterprise? Would this be a new dawn for the sector? Don’t frighten the horses If there was a theme for the conference (beyond the strapline: A Greener, Fairer Future) it was responsibility. Labour wants to be seen as responsible stewards of the public finances. They want to be seen as responsible custodians of the NHS and public services. They want to be seen to be responsible on climate change. This responsibility manifested itself as a desire to avoid doing anything that could spook the media or business. Yes, Labour would create a new energy company – Great British Energy. But it will not sell energy directly to customers, that will remain with the current market providers. It won’t be nationalising any existing companies, it will work in partnership with what is already there. Yes, Labour will create a new National Wealth Fund, taking stakes in the projects the state invests in. But this is not new money. It is essentially a sub-section of the £28bn Labour has already promised on net zero. Yes, there would be more money for the NHS – but it would be funded by reversing the scrapping of the 45p tax rate – worth around £2bn a year or 1.4% increase. This is not to say that these are bad ideas. Far from it. However, those expecting that a massive poll lead was going to unleash radicalism or significant investment in public services are misjudging the mood. At the moment, the closer that Labour feels to victory, the more cautious the party becomes. All business is good business? Social Enterprise UK attended a number of events and discussions at the Conference on business. The mood was generally positive. Labour wants to collaborate with business and businesses, seeing the way the wind is blowing, want to collaborate with Labour. Again and again the phrase “partnership with business” echoed throughout the meeting rooms. Labour would not “lecture” business. Labour believed that businesses want to do the “right thing”. But do they? Is all business good business? Business can be a powerful force for good, but that does not mean that all businesses are interested in unleashing that potential. This is where Labour needs to be more sceptical and look back on the performance of the British economy over the past forty years. If business as usual really worked, would we be in our current situation?  In parts of our sector, there is a view that given the alignment between the values of Labour and the values of social enterprises, a future Labour Government would naturally be a strong supporter of social enterprise. Investment and support will naturally flow from their electoral victory. The truth is more complicated. There was some good news at Conference. Social enterprises were referenced in Labour’s new industrial strategy, as was social value. The Deputy Leader of the Labour Party, Angela Rayner, announced higher standards in public procurement – which we understand will include strengthening social value to help more SMEs and social enterprises. However, we still have work to do to convince Labour that talking about and investing in social enterprise is not rebuking the rest of the private sector, it is a pro-business measure. We have to remove that hesitation and get Labour to see social enterprise for what it is – the fastest growing form of business in Britain, firmly in the mainstream of our economy. Labour should not be worried about social enterprise, it should embrace it. If we can do this, we can get the investment and support our sector needs and make our economy fairer and greener for all. That will be Social Enterprise UK’s mission from now until the next election.   By Andrew O'Brien - Director of External Affairs at Social Enterprise UK

By Andrew O'Brien - Director of External Affairs at Social Enterprise UK Given all the uncertainty in Westminster these days, social enterprises would be forgiven for missing the Procurement Bill which is currently making its way through the House of Lords. The Procurement Bill seeks to create a new legal framework for procurement in the UK following our exit from the European Union. The Bill is long and complex, but at its core is the idea of creating greater flexibility for the UK in how it spends public money. Welcome changes For social enterprises, the Bill has several important changes. Firstly, the procurement system is going to move away from “Most Economically Advantageous Tender” to “Most Advantageous Tender”. At a basic level, this means that procurement decisions can be based on more than just price. This is a positive move in the right direction. Ultimately, the goal of any public sector procurement is to make society and our planet better. Price is a factor, but not the only factor. The shift away from narrow consideration on price towards a broader range of factors is a vindication for the years of campaigning by the social enterprise sector and other organisations which have pointed out the flaws in the previous system. There is also a requirement for public sector organisations to consider breaking out contracts into lots. We hear regularly from smaller social enterprises that they struggle to bid for contracts because they are too big. One of the lessons learnt from the collapse of Carillion was the need to spread risk more evenly throughout the system rather than contracts being dominated by one or two large providers. Cuts to procurement teams mean that this provision may still struggle to be used but encouraging breaking up contracts into smaller chunks should help increase the diversity of suppliers, including social enterprises. The Bill will also make market engagement before a contract is put out to tender easier by clarifying that this engagement is legal and specifying the process. Again, this is a welcome move as most social enterprises want to work in partnership, and we know that the best services are designed in collaboration with experts and service users. Where is social value? The biggest area of concern in this Bill is the absence of any reference to social value. Despite central government creating its own Social Value Model and championing social value across the public sector over the past few years, there are no references to social value in the Bill itself. Ministers have said that the duty to “maximise public benefit” covers social value and the National Procurement Policy Statement (guidance which lays out the government’s approach to procurement) does include references to social value, but this is far from ideal. Public benefit itself is not a term used regularly in procurement, it is something from charity law. Social value, by contrast, is clearly defined in law and is far better understood by public bodies given the ten years that have elapsed since the Social Value Act was passed by Parliament. Importantly, we need to give certainty and clarity to public sector bodies about what it is expected of them. A hokey-cokey where social value is in one minute and then out the next is not conducive to long term planning and engagement. Our Social Value 2032 programme, in partnership with Jacobs, PwC, Siemens, Shaw Trust and Suez recycling and recovery UK has found that there are huge opportunities to maximise the impact of public spending through social value. There is a £56bn “social value gap” that we need to close and this Bill will not help to address this. We have been working with members of the House of Lords from across all parties to table amendments to put social value into the Bill and these have received widespread support. Unfortunately, Minister’s are not budging. We will keep campaigning to set this right and hopefully fresh leadership will provide a renewed focus on how we maximise public money through greater use of social value. Next steps Social value is not the only area that we are working on, and we have worked with peers to put down amendments to encourage “open book accounting”, so that there is greater transparency on profits and surpluses in public sector contracting, as well as putting a duty on public bodies to consider the impact of their decisions on the social enterprise sector and SMEs so that we have a range of suppliers in the future. We will keep pushing for a procurement system which maximises social, economic and environmental impact and enables social enterprises to win contracts given the excellent track record of our sector. The Bill will be coming back to the House of Lords in September after the summer recess for further discussion of amendments and SEUK will keep working with peers to improve the Bill. Once it has passed through the House of Lords it will turn to the House of Commons and we can expect the Bill to be passed into law some time in early 2023. We’ll keep social enterprises updated about the passage of the Bill as it makes it way through Parliament.   If you have any question or would like to find out more about the Bill, feel free to email me at andrew.obrien@socialenterprise.org.uk.

By Jennifer Clair Robson - Content Director at Climate Action North The shift toward net zero will bring economy-wide transformation on an unprecedented scale. The transition will impact many industries, jobs, and communities. A Just Transition concerns the fair treatment of workers and communities affected by these changes. It involves investment in new skills and infrastructure while protecting and creating high-quality jobs and employment for a green economy. Approximately 6.3 million jobs in the UK, equating to around one in five, are likely to be affected by the transition to a green economy, according to the Just Transition Jobs Tracker. A Just Transition applies not only to large multinational corporations and governments; it is also critical that small and medium businesses, who play a crucial role in creating employment and are often at the heart of communities, are involved. Yet, while the importance of a Just Transition is a priority for the global climate agenda, it has been noted that many people don’t fully understand what it means. Here we demystify the Just Transition and consider: what is the Just Transition, why should I care, and what can my social enterprise do? What is the Just Transition? The Just Transition movement is a rising concern calling for the fair treatment of workers and communities who will be most affected by the shift to clean energy and the phasing out of fossil fuels. Greenpeace is campaigning to ensure that this move doesn’t leave anyone behind; they want to see workers, especially those in the oil and gas sector, retrained to keep green energy powering the world. The COP26 summit saw a 190-strong coalition of countries and organisations commit to phase out coal power and agree to: End investment in new coal power generation domestically and internationally Phase out coal power in economies in the 2030s for major economies Rapidly scale up the deployment of clean power generation Make a just transition away from coal power in a way that benefits workers and communities The push for clean and renewable energy is important because coal is responsible for nearly half of carbon dioxide emissions worldwide. A report issued by the Intergovernmental Panel on Climate Change (IPCC) in August 2021 was described as “code red” for humanity; it warned that without immediate deep cuts to carbon, including the phase-out of coal, the 1.5°C goal of the Paris Agreement will be unreachable.  Why should I care about the Just Transition? Without a Just Transition, many workers, particularly those in the oil and gas sector, will lose their livelihoods creating unnecessary hardship for them and their communities. Many will have spent a significant proportion of their life employed in their area of expertise and will not have the abilities to work in evolving professions. New jobs may not be available in the same locations that jobs are lost, and they may not be available at the time when people become unemployed. This is a pattern that has been repeated around the world, closer to home it happened when coal miners across the North of England lost their jobs in the 1980s. Sunderland City Council Deputy Leader Claire Rowntree told Climate Action North: “it’s vital that we do all we can to ensure the communities and jobs most affected by the inevitable switch from fossil fuels to renewable energy receive the levels of support required as we plan for a cleaner, greener future.” Fossil fuels is an obvious example, but the impacts will affect other industries such as automotive production, agriculture, construction and housing, manufacturing, and scientific and technical services. All affected industries will need to upskill their workforce or hire new employees. It is often forgotten that the Just Transition applies not only to large multinational corporations and governments. It is also relevant for small and medium businesses and social enterprises who may struggle to adjust without support, advice, and incentives. Yet the International Organisation of Employees (IOE) has stated that it believes that not enough focus is placed on small businesses in the Just Transition. It is essential social enterprises are engaged. They add a huge amount of value to communities and are connected through employees and their families. Any changes made in a social enterprise will spread out through the community via its workforce. Businesses that fail to act will face mounting pressure from investors, customers, staff and potential recruits, and legislation. In a nutshell, embracing a Just Transition to net zero and a green economy can help ensure the sustainability not only of the planet, but also of your enterprise. What can my social enterprise do? The most important step you can take is to commit to act. Simply making a Just Transition priority by including it in your goals will ensure it gets the attention it needs. Look at your social enterprise and find the smallest, easiest ways you can begin to make a difference. Start with your own impact and what you’re able to do. Get a holistic picture of risks climate change pose to your enterprise and operations with the Climate Action North business toolkit. Scrutinise your resilience against climate risks, identify areas of improvement, and put in place an action plan to reach net zero. It is important that those in the supply chain take account of their social impact when on the net zero journey. As well as working to strengthen local supply chains, you must consider regulations, apply due diligence for your workforce’s best interests, and ensure all environmental impacts are considered. This will make it easier to secure funds and contracts and enjoy the wider local economic and community benefits this brings. A Just Transition may bring challenges, but it will also present opportunities such as the upskilling and professional development of you and your workforce, and the creation of new jobs. These benefits need to be accessible to everyone so engage with your workforce to make sure they’re heard and are actively involved with all issues and opportunities. Climate Action North hosts events that focus on achieving a Just Transition in the North of England. They focus on strategies to create green jobs along with retraining opportunities for small businesses to help them be ‘skills-ready’ for the Just Transition to a cleaner, greener future. Sign up to our newsletter for details on events as they are released. Follow Climate Action North projects and get in touch to support our work and get involved. Our actions now will make a difference to tomorrow.

At the heart of the Plymouth social economy is Real Ideas Organisation – a social enterprise based in the city which works across the Southwest and beyond. Its mission is to solve problems and create opportunity for individuals, organisations and communities. It does this through a variety of programmes centred on helping young people into careers and employment, supporting the growth and development of social enterprises and acting as a hub for community, business, and cultural activity. Turning a cherished local asset into the heart of Plymouth’s social enterprise sector Real Ideas is based in the Guildhall in Devonport, a part of the city that, following decades of deindustrialisation, became one of the poorest parts of the country.  Devonport Guildhall, a magnificent Regency era building, became symbolic of this decline gradually falling into disrepair. Real Ideas took ownership of the building in 2007 in a community asset transfer from Plymouth City Council, securing £1.8 million to refurbish the hall from the Community Assets Fund. This was no ordinary building restoration - the social enterprise took ownership of the Grade I listed Guildhall to turn it into a space that gives back to the local community. Devonport Guildhall reopened in 2010 as a space for social innovation – a place which brings people and businesses together to help build a sustainable and inclusive economy in the city. It has incubated a number of local community sector organisations, is home to a few established ones too, and has helped new food businesses to set up and grow during the pandemic by sharing access to the commercial kitchens and bakery facilities there. Most recently, Real Ideas renovated the Grade II listed Market Hall in Devonport, a £7.6million project which opened in the summer of 2021 as a new space for immersive technologies, complete with contemporary co-work and a 360-dome environment.  As well as Devonport Guildhall, Real Ideas also runs Ocean Studios – a space for arts, culture and making, with resident artists, shared making spaces and creative co-work. Real Ideas is also the Arts Council’s Bridge Organisation for the Southwest of England and works with schools, youth and cultural organisations to connect young people with art and culture. Growing the local social economy A core part of Real Ideas’ work is growing the local social economy through the development of community business. Its Empowering Places Programme, funded by Power to Change, has supported over 15 community businesses to start-up and thrive through a mixture of hands-on business support, training, tailored expert support and seed funding.  The programme has developed a focus on renewing high streets as well as in protecting parks and green spaces. Real Ideas has also supported thousands of young people take the next steps towards their future career, delivering employability projects in Cornwall funded by ESF, ERDF, National Lottery Community Fund and the Department for Work and Pensions. Environmental sustainability is woven into the business’ operations, underpinned Real Ideas’ One Planet Living’ approach. It runs a range of programmes with this focus. For example, the Enrich programme, part of the Plymouth Green Estates Management Solutions Project (GEMS), specifically looks at how social enterprises and community businesses can be used to find positive solutions to sustaining the city’s parks. realideas.org

As CEO of Social Enterprise UK, I have a unique opportunity to lead change. We are primarily a movement for social justice – and without racial justice there can be no social justice. Social Enterprise UK represents a movement of over 100,000 businesses. We have to get this right. – Peter Holbrook, Chief Executive of Social Enterprise UK Social Enterprise UK is an organisation that acknowledges racism and seeks to be inclusive to all within the social enterprise movement. It rightly aspires to be an anti-racist organisation. We will and we must become truly inclusive of those communities we are trusted to represent. I am pleased that staff have taken the initiative for change. Change must be practical, impactful, and measurable. – Lord Victor Adebowale, Chair of the Social Enterprise UK Board Background Following the resurgence of the Black Lives Matter movement in the summer of 2020 we promised to take a close look at how we can become a truly anti-racist organisation and to consider our role in the broader movement for racial justice. Since we published an initial statement of solidarity , we put together an internal working group to discuss how we become a more representative and inclusive organisation. We also looked at what our role should be as a membership body for the social enterprise movement and what we can do to influence, and shape change at a systems level. This statement sets out why we think anti-racism, justice, equity, diversity, and inclusion are important – and why they will be central to all our work going forwards. For more detail on the steps we are taking, read our action plan which accompanies this piece. What are we doing? Anti-racism is now at the core of our work, informing all our workstreams and, vitally, our role as a voice for the sector. Change must come from the top. Our CEO Peter Holbrook is our Executive Sponsor on Race and with the senior leadership team and Board is committed to this statement, the associated action plan and to driving us to become a robustly anti-racist organisation. However, we have not set rigid top-down targets. Progress will be delivered collaboratively and continually. All staff will be expected to play a role, and all staff will have a voice to drive change. In March 2021 we signed Business in the Community’s Race at Work Charter publicly committing us to taking action to break down barriers for racialised communities and to being an inclusive and diverse workforce. Our new justice, equity, diversity and inclusion (JEDI) action plan focuses on our internal processes and also our role as a membership body for the wider social enterprise sector. It details how we work with our members and other businesses to ensure that we’re proactively and effectively addressing inequality and that we promote anti-racism across the sector. Why do we believe this is essential work? From its conception, Social Enterprise UK has sought to promote social justice and has seen equality and inclusion as integral to that. However, we acknowledge both shortcomings in our existing approaches and the potential for us as an organisation, and for the social enterprise sector, to do more. We recognise that our economy and society is unfair in terms of who benefits from opportunities and who faces disadvantages. We also recognise that resolving this inequity requires proactive change. We believe that justice, equity, diversity and inclusion should be reflected across every aspect of our organisation and the broader social enterprise movement. We are proud that as a sector, we are more diverse and representative than traditional businesses. Around 14% of social enterprises are led by people from racialised communities[1], and 31% have directors from these backgrounds. Social enterprises aspire to be progressive, but systemic issues persist. Social enterprises led by people from racialised communities report lower turnovers than the average. The median turnover for social enterprises led by Black women was £31,900 compared to the overall median turnover of £100,000. Our latest State of Social Enterprise report also showed that the number of people from racialised communities on leadership teams has fallen. Social enterprises led by people from racialised communities were more likely to apply for finance but secured only half of the median amount sought, compared to 80% for social enterprises as a whole. The Adebowale Commission on Social Investment found that “social investment continues to have a serious problem with inclusion and equity particularly, although not exclusively, in relation to race.”[2] Leaders from racialised communities are under-represented across the work of the sector. Social enterprises should all be change agents to break down systemic racism and build a more equal, diverse and inclusive economy – but these barriers prevent the sector from realising its potential. Many social enterprises realise they need to do more to become anti-racist organisations (and 43% have told us that want to learn how). We want to support our members to strive for racial justice – and to showcase the brilliant work that social enterprises themselves are doing to promote anti-racism. We believe that this has to start by us improving our own practices. What do we mean by justice, diversity, inclusion and equity? We understand diversity to mean diversity across protected characteristics and intersectional factors of the people in our society. Inclusion means that regardless of background, personal and protected characteristics and other factors shaping individuals, all people can participate as themselves with the same voice. Equity means that to achieve diversity and inclusion, some people may require different solutions because of how unequal society currently is – achieving equality cannot be done by simply treating everyone the same. Justice means addressing institutional barriers to achieving equity, inclusion and diversity. What do we mean by anti-racist? For us, being anti-racist means recognising that racism is systemic and that tackling it requires proactive change at a systemic and institutional level – change that might be unfamiliar, uncomfortable and challenging for some. Why are we focusing on race first? There is evidence that particular racial groups are under-represented in our sector and within our organisation. The Black Lives Matter movement acted as a wake-up call – that organisations committed to social justice have to embed anti-racism into their operations if we are to build the fairer and sustainable economy we strive towards. There can be no social justice without racial justice. We know that inequity and injustice is not limited to race. People face oppression based on gender, sexual orientation, class, disablement, sex and age and more. Our approach to JEDI is intersectional– recognising how different forms of oppression interlink. Working to dismantle racist structures will give us tools and approaches to reduce oppression in all its forms. Dismantling inherently racist structures will not be easy. We believe that social enterprises are the future of business and play a vital role in breaking the systemic injustices affecting society. The fight against inequality and injustice is a long one – new voices will need to be centred, new solutions debated, and new coalitions made. However, we can all play our part in creating a truly anti-racist movement dedicated to building a fairer economy. We feel privileged to work at an organisation and in a sector that is deeply committed to positive change. We look forward to working with you and to sharing our progress. [1] In this document the term racialised communities is used in place of the acronym BAME though wherever possible we try to use the term used by the person or group to self-identify.  The term racialised communities recognises the social construction of race – how people are viewed through the prism of race by others and how this is directly tied into ideas around colonialism and white supremacy. As social enterprise Spark & Co phrase it – “”Racialised” doesn’t define the community or the identity, but rather the phenomenon that has happened to them” – https://www.sparkandco.co.uk/news/four-letters-cant-define-81-million-lives When referring to people from specific groups we will refer to them through the ethnicity they define themselves as  i.e. Black led social enterprises. [2] No Going Back – State of Social Enterprise Survey 2021 [3] https://www.socialenterprise.org.uk/adebowalecommission/

March 2021 We were joined by social enterprise leaders from Thailand and Singapore to learn about the rise of social enterprise, the middle class and the economies of South East Asia, the potential Asian Century, the idea of Singapore-on-Thames, inequality, and social enterprise as a global movement. https://www.youtube.com/watch?v=0SrQ6bHRumI View Da's slides on the state of social enterprise in Thailand here. View Casper's slides on Singapore's social enterprise sector here.