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How can social enterprises, co-operatives & other social economy models provide innovative solutions for some of our public service challenges?

Publication date: 30th September 2024 |Categories: Featured, Publications |Tags: , ,

As the new Labour Government looks to tackle the issues faced by our creaking public services, it should be aware of the opportunities offered by purpose aligned partners working locally, regionally and nationally to find new solutions. Labour has made a commitment to support diverse business models and double the size of the co-operative sector. With the right support the social economy could play a significant role in transforming public services, boosting productivity and developing community-based, long-term preventative services that reduce costs.

In July E3M ran a special event called E3M Imagine, which brought together public service commissioners, funders, co-operatives and social enterprises to explore new models. Mixed groups explored the following challenges:

  • Children’s services: transitioning from care in England and addressing placement sufficiency for looked after children
  • Domestic abuse: perpetrators leaving the home they shared with their victim
  • Elderly care: co-operative models and technology
  • Homelessness: reduction and prevention
  • Mental health: strengthening communities through social investment
  • Primary care: community models for health and wellbeing
  • Supported housing market: creating sustainable solutions

Delegates worked on ideas to make progress in each of these eight areas and we have just published the key points that came out of their work in this report.

Some clear themes emerged across all the discussions. Of these, three things really stood out in relation to what this new Government could do to enable co-operatives and social enterprise to play a big role.

  • There needs to be a joined-up approach across Government with some real leadership in promoting collaborative partnerships. This feeds directly into the implementation of the new Public Procurement Rules now set for February 2025. The new “flexible procedure” must be understood to be consistent with collaborative engagements, with some more explicit guidance from the Cabinet Office.
  • Social investment can unlock and enable new service delivery approaches and help to overcome financial barriers. E3M Imagine participants discussed how social investment has been secured into a diverse range of social, community and public partnerships, its impact and its potential to support ideas in each challenge area. The Government should move quickly to get a further injection of unclaimed assets in social investment funds that can support the growth of innovative solutions and explore where appropriate new funds can support public service transformation (e.g. to support social economy models for care in areas such as children’s services).
  • This local growth funding can support the scaling of community-based models, where engaging communities, co-designing services with them and leveraging their knowledge can enhance the effectiveness of public services.

Those who took part in the event are working to move forward the ideas to support people and communities that need the solutions offered by these innovative models. Now it’s time for the new Government to recognise the importance of this approach and get behind supporting the social economy to do more.