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As a partner in the Future Economy Alliance, we were proud to host a roundtable with West Yorkshire’s Metro Mayor Tracy Brabin, bringing together social enterprises and other mission-led organisations for a discussion of how combined authorities can support them to fix regional economies. With ‘local power’ being a key pillar of our Future Economy Alliance campaigning, the event was an opportunity to show the importance of mission-led organisations to grow local economies and address the big challenges facing communities. Discussion centred on how West Yorkshire can become a beacon for mission-led organisations - which are vital to creating jobs and opportunities, delivering public services and creating safer communities. With valued community assets such as shops and pubs under threat, the role of mission-led organisations in saving these institutions was also discussed, as well as their role in spearheading schemes to protect the environment though running programmes such as recycling schemes. Some of the challenges discussed included the need to get mission-led organisations a seat at the table on key local bodies and to support them to access procurement opportunities. One solution offered was to create a local or regional version of Social Enterprise UK’s Buy Social Corporate Challenge, where big businesses commit to bringing social enterprises into their supply chains, using their everyday spend to create positive social and environmental impact. There was also a call for more long-term support for the sector including making sure mission-led organisations can access suitable finance. Tracy Brabin was keen to find out more ways she could help the growth and development of mission-led organisations and asked for further details on what concrete steps she and the combined authority could take to support the sector. It is great to see the West Yorkshire Mayor, as well regional mayors in Greater Manchester and the West of England Combined Authority, leading the way in recognising the power and potential of mission-led organisations. We now need others to follow suit nationally. We would like to thank everyone who joined the roundtable, especially social enterprise, Shine, who kindly hosted the event. To find out more about the Future Economy Alliance and our Business Plan for Britain visit >> https://www.futureeconomyalliance.co.uk/

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

It has been a longstanding ambition of ours to own a building and are delighted to announce that this has now become a reality! Through a pioneering partnership with our friends from the School for Social Entrepreneurs (SSE) we have purchased 13-15 Dock Street in the London Borough of Tower Hamlets. Located around the corner from Tower Bridge, the former East End dock warehouse has been transformed into a hub of social enterprise activity. As well as giving us a permanent home, increasing our sustainability and resilience, in future we hope it will be a space to bring the wider social business world together and provide new collaborative opportunities for the sector. Buying the property was itself a model of sector collaboration as we and SSE set up a new limited liability company, the Home of Social Enterprise, to carry out the purchase. Our chief executive, Peter Holbrook CBE, said: “This important achievement has been a real collective effort that we feel reflects the very spirit of our sector: working towards systemic positive change and doing business in a way that doesn’t just benefit ourselves but also the community, the social enterprise movement and environment around us.  “After many years of effort, I’m delighted that we now have a long-term home and an asset that I believe will help strengthen and secure our organisation’s future. This massive undertaking would not have been possible without CAF Bank, CHK Foundation, Postcode Innovation Trust and City Bridge Foundation, as well as the work of many social enterprise supporters.”  Alistair Wilson, chief executive for SSE, added: “We’re thrilled to elevate our longstanding partnership with Social Enterprise UK as we join forces in our new shared space! It’s more than just a building; it’s a beacon for collaboration, a home for social entrepreneurship and a symbol of our commitment to long-term sustainability. “We would like to thank David Adair, Head of Community Affairs at PwC, and his colleagues for their instrumental support throughout this transition. We’re so grateful for their expertise in facilitating our move – and of course, for providing our previous accommodation at the Old Fire Station on Tooley Street, which was exceptional.” We look forward to welcoming you to our new home!

As part of our work in the Future Economy Alliance, today we brought together cross-party politicians and cross-sector business leaders in Parliament to discuss our new Business Plan for Britain, which sets out how the government can work in partnership with mission-led organisations to address huge social and environmental challenges. This newly published report sets out the national policy changes that can empower mission-led business to create a stronger, fairer, greener economy. From reforming the way we do business to putting power in the hands of local communities, and transforming public services to creating a people-powered green transition, the Plan presents a host of policy recommendations that can fix our broken economy. Read the report here An estimated four million of us work in social enterprise and other mission-led organisations; we’re living proof that business can be a force for good, and we need those in power to unleash our full potential. In an election year, we’re calling on our next government to recognise the importance of working for a purpose beyond profit and make our mission-led approach the national norm. Our chief executive Peter Holbrook CBE said: “Social Enterprise UK research provides a hefty evidence base for the impact of business with a purpose beyond profit – and in the face of so many complex challenges, we need this mission-led approach more than ever. The next government must seize the opportunity to unlock the potential for better business and fix our economy with bold reform that will deliver for generations to come.” It was heartening to see influential people taking an interest in our sector at the House of Lords event today – including cross-party MPs, national journalists and economic think-tanks – but publishing this report is just the start. We’re determined to make this a priority for the General Election and beyond. This month we’re also crowdfunding to create a stunt that will cut through the political noise with our bold message of change and hope. To build an economy that really works for our society, we need support from across that society. Will you help us? Support the campaign Please get involved with our campaign – donate if you can, use the toolkit to share it, and join the mailing list to find out about events or actions in future.

As a social enterprise, mission is the heart of everything we do - and as part of the Future Economy Alliance we’re campaigning to make this way of working the national norm. Inequalities are rising, divisions are deepening, and the climate crisis is growing. Trains are cancelled, rivers are polluted, people are having to choose between heating and eating – while the companies behind these vital services record huge profits. Our local councils are going bankrupt, our high streets are empty, and our NHS is on its knees. Nothing works anymore. At the heart of this is a broken system. ‘Business as usual’ isn’t working – so let’s change it. Let’s unleash the power of business to benefit people and planet. Let’s build a stronger, fairer, greener economy where all of society profits. Let’s fix our future. We’ve joined the Future Economy Alliance to highlight the importance of working for a purpose beyond profit, and make this mission-led approach the national norm. An estimated four million of us work in social enterprises and other mission-led organisations across the UK, and we’re living proof that business can be a force for good; we just need those in power to unleash our potential. Ahead of the General Election, we’re ready to guide our next government in the bold reforms needed to fix our economy – and with your support, we can put these issues at the top of the political agenda. We’re crowdfunding to create a unique campaign stunt that will really grab our leaders’ attention. It could be anything from billboards all over the UK to skywriting above Parliament or taking over Westminster; we’re planning the best possible tactics to bring our campaign to life, and anything you can donate will help make our message heard in the corridors of power. Will you help us? Please support our campaign We're gearing up for an exciting campaign stunt to grab the attention of our leaders and cut through the political noise with a bold message of change and hope: that we can build a new economy where all of society profits. We’re working with a creative agency to really bring our campaign to life, and anything you can donate will help make our message heard in the corridors of power. To build an economy that really works for our society, we need support from across that society. Every donation is a step towards a stronger, fairer, greener future for all of us. Join the Future Economy Alliance, join the movement, and let’s fix our future.

Now that the UK has slipped into an official recession, and with living standards stagnating, this week's Spring Budget will likely look to stimulate private sector activity. This is an opportunity to re-imagine how policy can support business, and to encourage the growth of more responsible and diverse models of business whose aspirations are aligned to the wider economy. The distinct challenges faced, the pressures these exert and the response of the business to succeed can vary enormously across the business landscape. This is especially true for social enterprise models, which already run against the grain of what is expected of a business by prioritising social and environmental missions alongside the need to make profit. However, much national policy remains uniform, and therefore unable to meet the needs of different business models. Efforts to support business growth in recent years have focused on a mixture of tax cuts, capital subsidies and rapidly designed support packages to address external shocks like Covid-19 and the cost of living crisis. Despite their growing prominence, social enterprises are often overlooked by government. For example, the flagship policy of full expensing (the scheme that allows capital investment to be deducted from tax bills) was hailed as the biggest cut to business tax in modern times, and critical for encouraging business investment. However, new Social Enterprise UK research has found that almost three-quarters of social enterprises have failed to benefit. It has been hinted that further tax cuts will be announced during the Spring Budget - but this is an opportunity to adopt a fresh approach. At present, policy is proving ineffective at supporting the growth of more diverse business models. Various policy levers are just waiting to be pulled by government, including: expanding green investment funds to help support the creation and growth of environmental enterprises, while facilitating the net-zero transition among the wider business community. reforming the tax code to incentivise private investment into social enterprises and other community businesses. implementing a Community Right to Buy Act that allows local authorities and the communities they serve to develop local assets that can stimulate economic activity and generate revenue. We cannot continue with business as usual. Social enterprises have proven resilient in the face of economic hardship, but they are failing to achieve their potential. Policy needs to be adapted to recognise that different forms of business not only exist but need specialist support. Recognition of this is the first step towards the creation of a more diverse, vibrant and impactful business community.

The latest Barometer in our Social Enterprise Knowledge Centre depicts a sector broadly optimistic for the year ahead, persevering in the face of economic uncertainty despite gaps in local and national government support. Every quarter we publish new findings from our Social Enterprise Advisory Panel to give a snapshot of key sector issues and trends across the UK. This latest survey explored social enterprises’ overall expectations for 2024, from reserves and profit making to staff numbers, as well as the potential impact of ongoing economic uncertainty amid recession headlines and the cost of living crisis. Social enterprise business expectations for the year are broadly positive; 64% expect turnover and staff numbers to either grow or remain the same, compared to just 50% of small businesses as a whole, and the vast majority expect demand for their goods and services to rise. However, many social enterprises are experiencing uncertainty, with local and central government income highlighted as a significant factor affecting their growth expectations. Many are unaware of and ineligible for support provisions like the Community Organisation Cost of Living Fund or VCSE Energy Efficiency Fund, and around half say their local authority offers no support for their business. We know that social enterprise is more resilient than other forms of business, as demonstrated in recent economic crises – but they also contribute more to society, so they need to thrive, not just survive. We’re calling for targeted government support to help social enterprises develop and expand, generating economic growth and shared prosperity. Creating an environment for social enterprise to thrive requires appropriate policy development. As part of our work in the Future Economy Alliance, we’re campaigning for a dedicated minister to lead bold reform and join up relevant policy areas, so the government can better support social enterprises and unlock our full potential. Click here to read the full report