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Why cross-party MPs are working together for a better kind of business 

Social enterprises present a great opportunity to improve life in the UK. Now a group of MPs will collaborate to help realise their potential. Patrick Hurley, MP for Southport, explains why he wanted to chair the group. 

In my constituency of Southport and the wider area there are many social enterprises, cooperatives and community businesses delivering vital public services, community cohesion, innovating products and services and generating employment and inclusion. Businesses like these are powerful as they offer real value for people and planet and many do so at scale. They offer a fast-track solution to improving life in the UK for millions. Yet they still represent just 5% of UK businesses. 

There have been numerous false dawns for social enterprises over the past twenty years. So much so, that any new attempt to create a buzz around the concept is likely to be greeted with a raised eyebrow and a knowing smile. Much more pragmatic, then, to accept that the path to a social economy is a gradual one, a path that accepts the reality of a mix of business structures, a path that is not paved with gold, but which is covered with a thicket of brambles needing to be cleared. 

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Late last year, as a relatively new MP, I was elected to be the new Chair of the All-Party Parliamentary Group (APPG) for our sector – a group we chose to call the Social, Cooperative and Community Economy APPG – and have since been working to develop a programme of work and an approach to growing the capacity and potential of the sector in the current economic and political landscape. Working closely with others in both the Commons and the Lords over the last couple of months on our plans, we’re now keen to make tracks on our agreed priorities for the year. 

The business and governmental context that the social economy sector works in has changed fundamentally over the past couple of decades; indeed, it has changed fundamentally more than once. The availability of finance on a patient basis, the ability to trade while fulfilling community interest requirements, the need to step into the gap left by retreating public services – all these factors and more have evolved, and impacted the way social economy organisations go about their business. The time is therefore right to see if the regulatory systems, the legislative environment, and the funding landscape are what the sector needs for the next 10-15 years. 

The UK is home to a robust ecosystem of support networks that encourage innovation within the social enterprise sector. From accelerators to mentorship programmes and collaborative hubs, these resources help early-stage social entrepreneurs navigate the complexities of scaling their impact while staying true to their core values. By fostering a collaborative environment, the UK has become a hotbed for social innovation, leading the way for other nations to follow suit. But there is always more we can do, and the APPG committee is determined to help grow the sector in a way that hasn’t been possible in recent years.  

As we look ahead, it is clear that the future of business in the UK should increasingly be shaped by social enterprises. As the government makes decisions on public service delivery and as local government begins to rebuild after a prolonged period of austerity, it’s an opportune time for the sector to step up once again to help shape the future of the UK’s business landscape and tilt it in a more social direction.